Home Automation Market Growth Not Entirely Automated

Increasing awareness and robust new construction activity have helped propel the growth of the home automation market. A recent study from Frost & Sullivan found that the market earned revenues of $1.2 billion in 2005, and the research firm estimates this number will reach an annual average of $2.4 billion by 2012.

“The ever increasing awareness among homeowners about the benefits offered by the home automation market has driven the growth of this market,” said David Lee, Frost & Sullivan research analyst. “This increase in awareness is mainly due to the entertainment aspect. The manufacturers, to some extent, have been able to educate the homeowners and make an offering as a package along with the entertainment.”

However, the lack of proper training for installers negatively affects the sales of home automation systems. Proper installation is essential for a system to function effectively. Hence, proper training for installers is imperative, and it can boost the market even more.

“A properly installed system can further improve the potential of the home automation market,” Lee said. “Word-of-mouth publicity about the benefits of the system can certainly help in driving the sales. This can effectively occur only when the system performs efficiently, which is dependent on its installation.

What this means for electrical contractors is home automation may become a more sustainable market in which contractors can greatly benefit; however, proper training will be the key. Customers are pushing for it, and if you push back, Frost & Sullivan’s predictions could prove to be a low estimate.     EC





Stay Informed Join our Newsletter

Having trouble finding time to sit down with the latest issue of
ELECTRICAL CONTRACTOR? Don't worry, we'll come to you.