Impact of COVID-19 on the Global Smart Home Market
A smart home is a residence that uses Internet-connected devices to allow the management and remote monitoring of systems and appliances, including heating and lighting. In other words, smart homes are combined with advanced automated systems that control temperature, lighting, security, multi-media, thermostats, door and window operations, and entertainment systems, which are controlled by the user via computers and smartphones. The home appliances are connected through the Internet connection. Here, IoT plays an important role. The use of IoT in smart homes has compelled manufacturers to promote automation in the household sector. The spread of the novel coronavirus across the globe has impacted most economies across the globe. The pandemic has also affected the buying behavior and purchasing habits of consumers. Although people are spending a considerable amount of time at home, they are more focused on buying essential goods rather than IoT devices. The decreasing interest in buying consumer IoT devices is expected to hamper the growth of the market during the COVID-19 pandemic.
The key players in the market have invested heavily in the development of products such as electrical installation systems and security systems. However, COVID-19 pandemic has affected manufacturing operations across the world. The delay in the production of smart systems due to the lockdowns imposed by various governments is also hindering the growth of the market.
The Asia-Pacific market is expected to dominate over the forecast period owing to an increase in urbanization and the demand for smart home projects. The increasing awareness associated with safety and security in the region is also expected to drive the market demand. Protective measures such as regular hand-washing and social distancing will be required to be taken against COVID-19 post the pandemic. IoT can help in eliminating the need for touching items such as switches. IoT helps in preventing the spread of the coronavirus by eliminating the need to touch things at home and in offices and hotels. Devices such as smart locks, smart TVs, smart lights can be controlled touchless by the use of voice assistants such as Alexa, Siri, and Google Assistant. These benefits are expected to drive the market over the forecast period.