Energy Management - Western Africa

Revenue in the Energy Management market is projected to reach US$21.7m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 9.84%, resulting in a projected market volume of US$34.7m by 2029.
In the Energy Management market, the number of active households is expected to amount to 11.4m users by 2029.
Household penetration will be 11.1% in 2024 and is expected to hit 12.9% by 2029.
The average revenue per installed Smart Home currently is expected to amount to US$2.40.

Definition:

Energy Management market covers the sale of products for the control and reduction of energy consumption (e.g., automated heating control and timers) as well as connected sensors (e.g., temperature, sunlight, and precipitation sensors).
Networked light bulbs (see Comfort & Lighting) and smart sockets/plugs (see Control & Connectivity) are not included. Unlike in previous releases, smart plugs are no longer part of this segment but can now be found in the Control & Connectivity market. Smart Meters are not part of our Smart Home market.

Additional Information:

The market comprises revenue, average revenue per smart home, number of smart homes so as the household penetration rate by smart home, and key players. Figures are generated through both online and offline sales channels and include exclusive spending by consumers (B2C). Market leaders include Xiaomi, Google, Honeywell, LG, and other brands renowned for their innovation, brand recognition, and expansive distribution channels within their respective categories. For more information on the data displayed, use the info button right next to the boxes.

Digitally connected and controlled devices for energy saving
Thermostats (e.g., Sonoff Smart Radiator Thermostat TRVZB, Bosch Smart Home Room Thermostat II), radiator controls (e.g., TESLA Smart), temperature/wind/humidity sensors with connection to a broader smart home (e.g., TP-Link Tapo T310, Sonoff SNZB-02D)

Bulbs, window and door sensors (see Comfort & Lighting)
Connected household appliances (see Smart Appliances)
B2B/C2C sales of any kind (e.g., to hotels or office buildings)

The Energy Management market in Western Africa has been experiencing significant growth in recent years. Customer preferences, trends in the market, local special circumstances, and underlying macroeconomic factors have all contributed to this development.

Customer preferences in Western Africa have been shifting towards more sustainable and efficient energy solutions. As the region faces challenges such as unreliable electricity supply and increasing energy costs, customers are seeking ways to reduce their energy consumption and lower their carbon footprint. This has created a demand for energy management solutions that can help optimize energy usage, monitor energy consumption, and identify areas for improvement.

Several trends in the market have also contributed to the growth of the Energy Management market in Western Africa. One of these trends is the increasing adoption of renewable energy sources, such as solar power. Western Africa has abundant solar resources, and the decreasing cost of solar panels has made it a viable option for both residential and commercial customers.

Energy management solutions can help integrate solar power into the existing energy infrastructure, ensuring efficient utilization and storage of the generated energy. Another trend is the rise of smart grid technologies. As the energy infrastructure in Western Africa continues to develop, there is a need for advanced grid management systems that can optimize energy distribution and reduce losses.

Energy management solutions play a crucial role in enabling the implementation of smart grid technologies, allowing for real-time monitoring, control, and optimization of energy flows. Local special circumstances in Western Africa have also contributed to the growth of the Energy Management market. The region is characterized by a high reliance on diesel generators for electricity generation, particularly in rural areas.

However, the increasing cost of diesel and the environmental impact of its use have led to a growing interest in alternative energy solutions. Energy management solutions can help optimize the use of diesel generators, reducing fuel consumption and emissions. Underlying macroeconomic factors have also played a role in the development of the Energy Management market in Western Africa.

Rapid urbanization, population growth, and industrialization have increased the demand for energy in the region. However, the existing energy infrastructure is often inadequate to meet this demand. Energy management solutions offer a cost-effective way to optimize energy usage and improve energy efficiency, helping to bridge the gap between supply and demand.

In conclusion, the Energy Management market in Western Africa has been growing due to customer preferences for sustainable and efficient energy solutions, trends such as the adoption of renewable energy and smart grid technologies, local special circumstances such as the reliance on diesel generators, and underlying macroeconomic factors such as rapid urbanization and population growth. As these factors continue to drive the demand for energy management solutions, the market is expected to further expand in the coming years.

Data coverage:

The data encompasses B2C enterprises. Figures are based on the sales of smart home products, excluding taxes.

Modeling approach:

Market sizes are determined through a bottom-up approach, building on a specific rationale for each market category. As a basis for evaluating markets, we use the Statista Global Consumer Survey, market data from independent databases and third-party sources, and Statista interviews with market experts. In addition, we use relevant key market indicators and data from country-specific associations, such as household internet penetration and consumer spending for households. This data helps us estimate the market size for each country individually.

Forecasts:

In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited for forecasting innovative products due to the non-linear growth of technology adoption. The main drivers are GDP/capita, level of digitization, and consumer attitudes toward smart home integration.

Additional notes:

The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated once a year, in case market dynamics change we do more frequent updates.

This report presents a comprehensive analysis and additional information on the Consumer market, in a PDF format.

Smart homes use connected devices and appliances to perform actions, tasks, and automated routines to save money, time, and energy. They are the ongoing revolution of the humble home appliance mixed with AI, robotics, and improvement in IoT technologies. AI in particular, speeding up response times and working as an automation bridge between homeowner and home is already having an impact.