Export Compliance Daily is a Warren News publication.

Consumers Confused by What Constitutes Smart Appliances, Futuresource Report Says

Widespread confusion is hindering growth of the home automation, smart appliance and smart home security markets, Futuresource reported, based on a survey of 4,000 people in the U.S., U.K., France and Germany. "Although ownership of smart appliances is moving beyond…

Sign up for a free preview to unlock the rest of this article

Export Compliance Daily combines U.S. export control news, foreign border import regulation and policy developments into a single daily information service that reliably informs its trade professional readers about important current issues affecting their operations.

the innovators, many consumers are still confused by what constitutes a smart appliance, and that's a serious problem,” said analyst Simon Bryant, underscoring the need for consumer education. Some 21 percent of consumers in the survey said they owned a smart appliance, but further questions revealed that many people were classifying their smartphone or smart TV as a smart appliance, Bryant said Wednesday. “The concept of smart appliances does not yet resonate with the vast majority of consumers." Half of consumers interviewed said they’re reasonably, very or extremely likely to choose a smart washing machine or refrigerator during their next purchase, and 94 percent of current smart home appliance owners said they would replace their existing smart appliances with another one next time around, Futuresource said. “Once consumers are immersed in the experience, they cannot imagine losing the functionality.” By 2019, the value of the global household appliances industry is expected to exceed $300 billion, and smart appliances could give consumers a way to save money while giving vendors an additional stream from add-on services and subscriptions, Futuresource said. Brand loyalty in appliances is strong, with Samsung standing out as the most trusted brand in the smart appliance and smart monitoring services market, it said. The smart home is being shaped through entertainment distribution and control, security, lighting and climate control, with security and remote monitoring leading the way, mostly in the U.S., it said. Voice control, led by Amazon’s Alexa-based Echo devices, “could prove to be the catalyst for the entire smart home revolution,” Bryant said, and voice control offerings from Apple and Google will add “significant momentum."