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Less than 5% of U.S. broadband households own a smart appliance

New data from Parks Associates (www.parksassociates.com) finds that less than 5% of U.S. broadband households own a smart appliance such as a full-sized refrigerator, oven, dishwasher, or washer/dryer that can be monitored or controlled using a smartphone, tablet, or computer. However, the research shows 18% of consumers plan to buy a smart appliance in the next 12 months.

“Smart appliances have generated lots of attention, but market adoption is low due to low product availability, higher costs, and use cases that do not address customer needs,” said Tom Kerber, director, Research, Home Controls & Energy, Parks Associates. Purchase intentions of major appliances that can be connected to the Internet have grown from 9% in early 2014 to 18% in late 2015. However, the fact that actual adoption rates are far lower reflects a disconnect in the industry.”

Recipe apps and features get lots of attention in marketing smart stoves and refrigerators, but in today’s U.S. broadband households, nearly 60% of meals are prepared without a recipe. Only 19% use a recipe from an Internet source. For smart appliances to be successful, manufacturers need to understand how consumers want to use these devices.

In-store retail has accounted for the bulk of smart appliance purchases to date, but online channels appear to be gaining strength, accounting for one-third of the smart appliances purchased in quarter four of 2015. The introduction of the next-generation Samsung refrigerator at CES 2016 and recent marketing efforts by new entrants to the category will push global app downloads for smart appliances past 650,000 predicts Parks Associates.

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