The smart home has transformed from a futuristic vision into a reality.
Smart devices are available within every nook and cranny of the home, from connecting egg trays to the internet to identify which eggs are nearing their expiration date to smart baby changing pads. The intelligence and efficiency that these devices offer are enticing consumers; in fact, the proliferation of smart devices is forecasted to reach 20.4 billion globally by 2020, almost doubling from an estimated 11.1 billion in 2018.
WiFi or Die?
As the smart home market and diversity of connected devices continues to grow, emphasis on WiFi routers and smart home hubs will intensify. According to the CPX 360 survey, 64 percent of US adults cannot go longer than one day without their WiFi router, outranking smartphones as the #1 technology consumers cannot live without.
Security in the IoT
Security fears have the potential of dissuading consumers from pursuing the full experience of the connected home reality. According to Forrester, approximately 500,000 IoT devices suffered a compromise in 2017 alone. With the sheer volume of connected devices—smart thermostats alone exceed over 1 million devices—it is not difficult to imagine hackers targeting this vulnerability, making this sector scary from a security standpoint. The CPX 360 survey found that two-thirds (70 percent) of consumers understandably fear lack of security from hackers who might hack into smart devices in the home. Validating Forrester’s statement, the survey also highlights that data and privacy fears rank second among consumer smart home concerns. More than half of US adults (58 percent) fear lack of privacy from device manufacturers who have access to data, real-time conversations, voice patterns and search history.
Brands Mitigating Security Concerns
Consumer concerns create a vast business opportunity and potential barrier to consumer IoT that has yet to be addressed. Brands need to understand this shift and growing dependence on technology in order to mitigate security fears associated with the smart home.
The smart home and connected ecosystem is designed to transform consumers’ lives by simplifying tasks and providing an added layer of intelligence to devices with actionable insights for the consumer. To ease concerns and ensure the success of smart home adoption, the survey findings indicate that brands need to expand proactive engagement efforts and simplify products to minimize set-up frustration and directly address consumer concerns around privacy and security.
More About Our CPX 360 Survey
The CPX 360 survey is a three-part series; learn more about the former installment highlighting consumer smart home frustrations here.