The Smart Home Market Is Huge But It Has A Long Way To Go.

Smart door locks, smart cameras, smart speakers, sweeping robots...... artificial intelligence covers thousands of households, its huge commercial blue ocean is clearly visible, but the long road ahead, how to win consumers' hearts need to be carefully considered.

Artificial intelligence is no longer a new word. In the era of Internet plus, AI industry has been able to empower society and market orientation has changed.

Consumer iteration and consumption upgrades bring about great changes in the market.

Smart smart speakers, sweeping robots, dishwashers and other popular smart appliances have long penetrated into thousands of households.

But the long journey, how to bring more advanced consumption experience for consumption is still a question worth pondering.

The scale of smart home industry will reach 1 trillion and 120 billion in 2020.

The report points out that since 2018, with the rapid development of Internet of things, artificial intelligence and cloud computing, and the rapid development of a number of leading enterprises, China's smart home market will soon enter a period of rapid development.

The report thinks that the high-speed development period of our smart home will last four years or so. In 2022, the market will develop to maturity, and the market concentration will further improve.

Overall, the domestic smart home market scale can reach 1 trillion and 120 billion yuan by 2020.

The smart home market can be divided into two parts: hardware and service, and hardware can be divided into the stock appliance market, the intelligent upgrading market and the incremental smart home market.

1. intelligent upgrading of stock appliances

According to the sales data in 2016, the sales volume (including exports) of air conditioners, washing machines, refrigerators and televisions in 2016 were 15994, 7529, 9117 and 172 million 970 thousand respectively, and the estimated penetration rates were 29.8%, 41.9%, 17.4% and 85.4% respectively. According to the average market prices of intelligent products, 3000, 1500, 2000, and 2000 yuan, the market space could be calculated to be 3000, 1500, 2000, and yuan respectively.

It is expected that with the rapid increase in sales and penetration, the market will reach 926 billion yuan in 2020.

2. new smart home market

With the upgrading of consumption, new smart appliances based on Internet of things and artificial intelligence emerge in an endless stream, and mainly rely on small household appliances, such as smart speakers, sweeping robots, intelligent cameras and other products quickly enter thousands of households.

Moreover, these new smart home appliances are still in the market introduction stage, with relatively low penetration rate and wide market growth in the future.

According to the data of GFK, China's smart speakers sales in 2017 are about 1 million 500 thousand units, and its sales will be accompanied by the rapid development of the smart home industry and the rapid explosion of enterprises, and the 2018 will reach 5 million 800 thousand units. In 2020, it is expected to reach 15 million units with a market size of 6 billion yuan. The intelligent sweeping robot market is expected to be about 7 billion 500 million yuan in 2017, and is expected to grow to 16 billion 500 million yuan in 2020. The sales volume of the smart camera in 2017 is expected to be about 2 billion yuan, and that in 2020 is expected to increase to 8 billion yuan.

The above three products will exceed 30 billion yuan by 2020.

Considering that the new smart home products are widely distributed in a variety of home scenes, it is expected that other new smart home appliances, such as smart dishwashers, smart rice cookers, cooking machines, and so on, will have larger consumer scale products.

It is estimated that the total scale of the smart home market will reach 92 billion yuan by 2020.

3. consumables and value added services

Service, content and consumables, such as consumables purchase, product maintenance, content on demand and so on, will become the new main way of profit for smart home in the future. But for different scenes of smart home, the proportion of consumables and services is different.

For the products with high value and high replacement frequency, such as air purifiers and water purifiers, their value will exceed that of household appliances. For washing liquid, dishwashing liquid and filter screen, the main channel value is about 15%.

At the same time, as intelligent refrigerators, smart speakers, and other products that can connect the electricity providers and paid content entries will also have greater channel value.

With the development of smart home market, the proportion of profit and service profit will rapidly increase. It is estimated that the market will reach nearly 100 billion yuan by 2020.

Based on the above three, the report thinks that the scale of smart home market in China is expected to reach 1 trillion and 120 billion yuan in 2020.

Internet companies and traditional home appliance manufacturers are all the same.

Under the temptation of huge market dividends, Internet giants and traditional large household appliance manufacturers have increased their layout in the field of smart home through mergers and acquisitions and cooperation.

China's traditional home appliance companies headed by Haier, GREE and the United States are now actively pforming into smart home, relying on their huge product lines and market share to promote their own intelligence strategy.

Internet companies headed by Xiaomi quickly built huge ecological chains or technological platforms by their rapid response to new technologies and new markets.

At the same time, in addition to artificial intelligence, they also catch up with the rapid development of the current electric power providers, using their excellent quality, high efficiency and low margin mode, bringing unparalleled user appeal.

In addition, the hot home of smart home has also led to a number of smart home business upsurge. A large number of emerging technology enterprises have launched intelligent solutions to help traditional enterprises to carry out intelligent pformation and actively layout smart home industry.

The dispute over imports intensified.

With the evolution of smart home from single product to family ecology, the entry of smart home has become the focus of competition among major manufacturers.

The current approach is to control other intelligent devices through an intelligent center, such as the Echo smart speakers launched by Amazon. By receiving voice control information and performing voice analysis, the corresponding instructions are issued, and the network signals are sent to control other smart home devices.

With the explosion of smart speakers such as Amazon Echo, apple HomePod and so on, smart speakers have brought together almost all international giants including Ali, Tencent, Baidu, Google, apple, Microsoft, Amazon, Samsung and so on.

From smart router to smart door lock, from smart socket to smart TV, from smart phones to smart speakers, the debate on smart home entry has also been going on for a long time.

Smart speakers are the gateway to smart home, although many giants have sold speakers to the user's home. At this stage, the device is only one of the potential entries, and the war is more central than final.

The technology behind the entrance of smart home is more important than its specific form.

Even the entrance of smart home can be more than one. They are controlled by the central control system and operate together. Even when the intelligent hardware is more mature, the lower cost makes it possible to embed multiple entries into multiple devices in the smart home. It can automatically perceive the change of users' needs and environment, and more adaptively operate and interact with each other, so as to achieve everywhere, and truly bring users intelligent life experience.