Security, one of the drivers of smart home adoption, is expanding as new tools become available to home owners, according to a new home security forecast from Parks Associates.
“The residential security market has experienced continued growth, and the introduction of smart devices and services has opened new opportunities to bring more U.S. homes into the security market,” Tom Kerber, Parks Director of IoT Strategy, said in a press release. “Security providers must adapt to this trend and embrace the new IoT reality, which will expand the market for monitoring services and ultimately bring the provider higher revenues.”
Home Security Forecast
The firm found that 37% of homeowners who own at least one smart home device made their purchase to keep their homes safe and 29% to monitor homes while they are away. Other drivers, in order of importance, are saving money, convenience, monitoring the family, simplifying the home owner’s lifestyle, the desire “to buy the best” and replacement of a broken product. One-fifth plan to purchase an all-in-one security camera and another one-fifth a networked camera during the next year.
Parks Associates’ Home Security NUMBERS research says that more than 26 million homes in the U.S. will have monitored home security by 2021 and that revenue for professionally monitored security will be more than $14 billion by 2020.
Kerber said that interactive services and home control products are changing the value chain and competitive landscape. “Cable and telecom operators have entered the market with security services,” he said in the press release. “New approaches to selling professional monitoring [include] self-installed solutions and on-demand monitoring services, and service providers are working to expand the market by connecting smart products to monitoring services.”
The expansion of home security services goes hand in glove with changes in the role played by service providers. The bottom line is that changes in telecommunications, especially those related to the IoT, are providing home owners with new options. Service providers can benefit by helping home owners install and manage these devices and services.