Consumer Satisfaction in Smart Home Automation Market Rising Slowly though Overall Demand Continues to Drop
New report by Argus Insights reveals that holiday season may be less than jolly for smart home manufacturers
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Los Gatos, CA, September 30, 2015 – Smart Home devices and technology are supposed to make life easier for consumers, but a new report from Argus Insights shows that satisfaction is only slowly rising while overall demand continues the decline as revealed in the Connected Home Demand Report from June. Connectivity has been accomplished, but future success of the market will depend on how smart the products can really be. According to the new data, distrust from consumers about the reliability of connected devices is obstructing growth in consumer adoption and that, along with a steady drop in demand, may lead to a challenging holiday sales season for home automation companies. Argus Insights Smart Home Delight report is available here: http://www.argusinsights.com/smart-home-delight-2015/
Argus Insights proprietary analysis of 45,000 consumer reviews sourced from around the world from March through August 2015 shows that there is a slow improvement in satisfaction among home automation customers with smart light bulbs and security kits and hubs leading in ‘consumer delight’ with the greatest disappointment in the category of security cameras. The report takes a deeper look at consumer response to security systems, in particular Canary and SimpliSafe, and security cameras and the Nest Cam market acceptance.
Key takeaways from the report:
- Delight for Smart Home devices is experiencing a slight uptick as companies work to make life easier for consumers.
- Products that deliver on the promise of a better life in a way that is easy to install and maintain are driving up delight metrics
- Distrust from consumers about reliability of the products along with a drop in demand will lead to a not so merry holiday season for Smart Home device manufacturers.
Excerpts from the Argus Insights “What Makes A Smart Home a Happy Home”
As displayed in the graph below, Smart Light Bulbs and Security Kits and Hubs lead in terms of consumer delight, while Security Cameras produce the most disappointment.
Security Kits and Hubs are the leading the Smart Home device market. SimpliSafe leads in satisfaction for its simple installation, intuitive interface, and incredible value. Canary, one of SimpliSafe’s main competitors, entered the market strong, but more recently users have been complaining of spotty network connection temporarily disabling the device. Its unreliability is driving down consumer satisfaction.
Finally, the report shows Nest is recovering from its not-so successful debut. Consumer perceptions of the Nest Cam have increased almost 20% since launch, indicating that some of the early issues are being addressed and new customers feel the product is starting to deliver on the Nest brand promise. Still, most consumers feel it is not reliable enough to use as a security camera because of weak mobile notifications and streaming.
For more information about the Argus Insights Connected Home Report, visit http://www.argusinsights.com/smart-home-delight-2015/
About Argus Insights & Methodology
Argus Insights is founded on the fact that mindshare anticipates demand. Through curated analysis of global consumer reviews and social media conversations, the firm provides comprehensive visibility at market, product, and attribute levels to determine what is delighting and disappointing the market. Through insights derived from the firm’s proprietary customer insights platform, clients take targeted actions to improve market fit and revenue performance so they can surpass their competition.
Argus Insights is Silicon Valley’s first big data driven Market Coach. Recognizing that companies are constantly striving to achieve and sustain market fit in the face of competitive threats and shifting customer preferences, Argus Insights continuously monitors and analyzes millions of consumer touchpoints with their patent pending technology to measure the degree to which products satisfy market demand.
Argus Insights provides well-established and developing companies from Fortune 100 to small startups with information on market fit. We publish monthly market fit reports for a variety of B2B and B2C markets immediately at the month’s close while other firms force clients to wait a month or more for results. Take action today, visit http://www.argusinsights.com/ .
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