The smart home category continues to grow as innovative products pique consumer interest and entry-point products such as smart speakers and smart light bulbs make connected household technology an affordable option. Smart home technology has evolved from surveillance/security systems and novelty for entertainment to more diverse areas such as cleaning, HVAC systems and more. As the benefits and affordability of smart home technology improve, more consumers will enter the category seeking solutions for their homes.

• The impact of COVID-19 on consumers and their engagement with smart home technology.

• Who are the key demographics for smart home products and where marketers should focus efforts for sales growth.

• What factors shoppers look for in smart home purchases and what themes resonate best with smart home participants.

• Attitudes toward smart home technology and how consumers perceive the category.

This Report examines the smart home market, top brands in the space, consumers’ ownership and interest in smart home technology and their perceptions of and attitudes toward smart homes.

This Report includes, but is not limited to, smart home hardware and services, including climate control, water management, home security, lighting, entertainment, cleaning, cooking and home monitoring.

Smart home products are defined as those that satisfy one of the following criteria:

• electronic devices that communicate between themselves within the home;

• devices that can be remotely monitored/controlled using an app or website; or

• devices that adjust operation based on observed behavior.

Readers may also be interested in Mintel’s Smart Homes – US, May 2019 and Smart Homes – US, June 2018 Reports, as well as the January 2017 and April 2016 Reports of the same title.

The research for this Report was conducted in April 2021, and the Report was written in April 2021.

The smart home market is fragmented, with many diverse players operating in the still relatively new industry. Even so, more brands are looking to bring their smart home solution to the market every year. There are smart home solutions for nearly all areas of the home, including home security, cooking, cleaning, lighting, entertainment, managing utilities and many others. The industry ranges from small start-up brands looking to fill a niche smart home solution to tech conglomerates like Apple, Amazon, Samsung and Google that operate on multiple levels of the smart home industry, from building and designing products to integration with digital voice assistants.

Mintel’s economic assumptions are based on CBO estimates released on February 1, 2021. The CBO’s previous forecast for US GDP to fall by 5.8% in 2020 was revised after a stronger second half of the year and the updated estimate indicates a 3.5% decline in GDP for the year. The CBO forecasts GDP to grow by 4.6% in 2021 and projects unemployment to continue to fall to average 5.7% for the year.

The first COVID-19 case was confirmed in the US in January 2020. It was declared a global health pandemic and national emergency in early March 2020. Across the US, various stay-at-home orders were put in place in Spring 2020, and nonessential businesses and school districts closed or shifted to remote operations. The remainder of 2020 saw rolling orders, as states and local governments relaxed and reinforced guidelines according to the spread of the virus in each region.

Vaccine roll-out began in December 2020. Mintel anticipates business operations in the US will remain in a state of flux through 2021 as vaccines are widely administered and social distancing restrictions and capacity limitations are relaxed.