Energy Management - Western Asia | Statista Market Forecast

Revenue in the Energy Management market is projected to reach US$71.0m in 2024.
Revenue is expected to show an annual growth rate (CAGR 2024-2029) of 8.07%, resulting in a projected market volume of US$104.6m by 2029.
In the Energy Management market, the number of active households is expected to amount to 13.9m users by 2029.
Household penetration will be 26.7% in 2024 and is expected to hit 31.4% by 2029.
The average revenue per installed Smart Home currently is expected to amount to US$5.85.

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 Asia is experiencing significant growth due to several key factors. Customer preferences for energy efficiency and sustainability are driving the demand for energy management solutions.

Additionally, the region's unique circumstances, such as high energy consumption and a focus on diversifying energy sources, contribute to the development of the market. Furthermore, underlying macroeconomic factors, such as government initiatives and favorable investment climate, are also fueling the growth of the Energy Management market in Western Asia. Customer preferences in Western Asia are shifting towards energy efficiency and sustainability.

As the region continues to experience rapid economic growth and urbanization, there is a growing awareness of the need to conserve energy and reduce carbon emissions. Customers are increasingly looking for energy management solutions that can help them optimize energy consumption, reduce costs, and minimize environmental impact. This demand is driving the adoption of energy management systems and technologies in various sectors, including residential, commercial, and industrial.

The market is witnessing several trends in Western Asia. One of the key trends is the integration of renewable energy sources into energy management systems. With abundant solar and wind resources in the region, there is a growing interest in harnessing these clean energy sources.

Energy management solutions that can effectively integrate and manage renewable energy generation are in high demand. Another trend is the adoption of smart grid technologies. Western Asian countries are investing in modernizing their energy infrastructure to improve efficiency, reliability, and security.

Smart grid technologies, such as advanced metering systems and demand response systems, are being deployed to optimize energy distribution and consumption. Local special circumstances in Western Asia contribute to the development of the Energy Management market. The region has a high energy consumption rate, driven by factors such as population growth, rapid urbanization, and industrialization.

This high energy demand creates a need for effective energy management solutions to ensure reliable supply and reduce dependence on fossil fuels. Additionally, Western Asian countries are actively diversifying their energy sources to reduce reliance on oil and gas. This diversification strategy includes the development of renewable energy sources, such as solar and wind power.

As a result, there is a growing demand for energy management solutions that can effectively integrate and manage these diverse energy sources. Underlying macroeconomic factors also play a significant role in the development of the Energy Management market in Western Asia. Governments in the region are implementing various initiatives and policies to promote energy efficiency and sustainability.

These include energy efficiency regulations, incentives for renewable energy projects, and support for research and development in energy management technologies. Furthermore, Western Asian countries have favorable investment climates, attracting both domestic and foreign investments in the energy management sector. The availability of funding and supportive government policies create a conducive environment for the growth of the market.

In conclusion, the Energy Management market in Western Asia is experiencing significant growth due to customer preferences for energy efficiency and sustainability, as well as local special circumstances and underlying macroeconomic factors. The region's high energy consumption, focus on diversifying energy sources, and favorable investment climate contribute to the development of the market. As customer demand continues to increase and governments prioritize energy management initiatives, the market is expected to further expand in Western Asia.

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.