The presentation of the research on Smart Homes of the Internet of Things Observatory of the School of Management of the Politecnico di Milano was held on February 15, at the conference “Smart Home Reloaded: it is time to innovate, on solid foundations”.
The research data shows that the Italian Smart Home market is experiencing constant growth: in 2023 it recorded a turnover of 810 million euros, showing an increase of 5% compared to the previous year.
Although there is a slowdown compared to the growth of 2021 (+29%) and 2022 (+18%), the Italian Smart Home market remains in constant growth.
The slowdown in per capita spending is mainly due to the reduction in tax incentives that until last year also allowed the installation of smart solutions for energy efficiency. Despite the reduction in tax incentives, energy-saving solutions such as boilers, heat pumps, thermostats and connected air conditioners continue to be relevant on the market.
According to the study, the leading sectors of the smart home market are security solutions (24%), home appliances (19%), heating and air conditioning (18%) and smart speakers (16%). The director of the Observatory, Giulio Salvadori, stressed that more and more companies are offering innovative services by integrating Artificial Intelligence algorithms. For example, there are smart heating and air conditioning systems that rely on Artificial Intelligence algorithms to optimise energy consumption, as well as washing machines that can automatically dose detergent based on load and appliances that can detect faults and send reports for repair.
Manufacturers invest in smart solutions
The Italian Smart Home market continues to register more dynamic growth than the European average, although Italy still has difficulty competing with a per capita expenditure of only 13.7 euros, significantly lower than the 28.8 euros of the European average. However, 2023 marked an important turning point, with significant developments in both the demand for and supply of smart home solutions. There has been an increase in the number of companies offering innovative services, including through their Apps, taking full advantage of the data collected by the devices and integrating the Internet of Things (IoT) with Artificial Intelligence (AI) algorithms. This trend represents a clear improvement compared to previous years, indicating a growing interest and investment in the Smart Home sector by the Italian market.
Despite the gradual decrease of numerous tax incentives, the drive towards consumption reduction and energy efficiency remains one of the main driving factors in the sales of smart solutions. Currently, 17% of consumers associate the concept of Smart Home with the management of their consumption, registering an increase of 5% compared to 2022. In addition, 24% of users identify real-time analysis of energy consumption as a service of greater interest for the future. These figures reflect a constant interest in technological solutions that can optimise the use of energy resources and promote a more sustainable lifestyle.
Does the consumer use “smart” features?
The results of the Observatory’s research also offer interesting insights into this aspect. 59% of consumers say they have at least one smart device in their home, with 70% very satisfied with their purchases, but only 38% have actually connected their devices. However, 63% of those who have activated smart features use them regularly.
Forecasts remain positive
Data from the Smart Home Observatory outlines a healthy market in general. All the conditions are in place for the further development of this market in Italy, which bodes well for constant and important growth in the coming years.
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