Smart Appliances Market Size, Share | Industry Forecast by 2030 (2024)

Smart Appliances Industry Overview

The global smart appliances market size was USD 32.76 Billion in 2021 and is expected to register a revenue CAGR of 17.4% during the forecast period. Increasing penetration of smart homes, integration of modern technology, such as Artificial Intelligence (AI), with smart appliances, growing trend in convenience, energy conservation, and cost reduction among consumers, and increasing expansion of wireless connectivity across the globe are some of the key factors driving smart appliances market revenue growth. In addition, rising adoption of smartphones and internet across the globe is expected to drive revenue growth of the market.

Smart appliance is a type of smart device that is linked to a network, such as mobile connection or Wi-Fi and is typically part of a larger set of devices and technologies applied in a smart home. These allow users of a smart house to remotely monitor and operate any home appliance. A more futuristic situation would be to establish Machine-to-Machine (M2M) communications amongst various smart appliances within home to commence autonomous behavior to assist with daily duties. Examples of smart appliances include Heating, Ventilation, and Air Conditioning (HVAC) systems, as well as storage systems. In addition, penetration of smart appliances into homes is inevitably increasing as the market for such devices expands. In 2020, about 3% to 4% of households globally had a smart appliance and this figure is expected to triple in the next five years.

Rapid technical advancements and advanced lifestyles of individuals are expected to increase use of smart household appliances. Consumers that are tech savvy are aware of the latest technology and willing to invest in smart home solutions that will make their lives easier and less stressful. To meet changing lifestyles of individuals, manufacturers of smart home appliances are introducing items such as smart water heaters, refrigerators, purifiers, and many smart appliances.

For instance, in April 2022, LG Electronics, a South Korea-based electronics company revealed its new 2022 Home Appliances collection, which includes a variety of smart appliances that use AI technology. The most recent goods feature fashionable designs that are appropriate for a high-end lifestyle. Some of the products manufactured by the company are InstaView door-in-door refrigerators, AI direct drive washing machines, VIRAAT air conditioners, UV+UF water purifiers, and charcoal microwaves. In January 2022, Whirlpool Corporation, a U.S. based home appliances manufacturer announced that its smart appliances would gradually receive enhanced connected updates, beginning with a fresh new air fry mode that will allow users to care for their families in new and inventive ways. The users can swiftly adapt to new cooking techniques and shifting preferences with immediate over-the-air updates to their linked smart appliances.

Smart Appliances Market Restraints

smart appliances can be useful, but it also poses a significant security risk. Majority of smart appliances are controlled through commercially produced smartphone apps. Companies use these apps to collect consumer data, which makes users more concerned about their privacy. There are chances for misuse of personal information of customers such as email, home address, name, credit card number, and others. In addition, cybercriminals can steal personal information via hacking if devices don't have strong protections against attacks. Cybersecurity is a major concern when choosing a smart appliance. Moreover, smaller brands are more vulnerable to hackers since they do not allow users to remotely update their software. Furthermore, data privacy issues and chances of hacking are expected to restrain revenue growth of the market.

Smart Appliances Market Segment Insights

Smart Appliances Product Insights:

Based on product, the global smart appliances market is segmented into smart refrigerators, smart air conditioners, smart microwave ovens, smart dishwashers, smart washing machines, smart water heaters, smart coffee makers, smart ovens, smart vacuum cleaners, and others.

Dominance of Smart Washing MachinesSegment:

The smart washing machines segment accounted for largest revenue share in 2021 due to rising adoption of smart washing machines among individuals. Smart washing machines can be connected to home Wi-Fi networks such as smartphones and laptops. One can remotely set a washing machine using a phone or tablet app, or through Alexa or Google Assistant. In March 2022, Xiaomi unveiled Xiaoji mini smart washing machine, which can clean up to 2.5 kg of laundry. This device is designed for gentle washing while providing 99.99% sanitation rate. In January 2021, consumer electronics brand LG launched LG ThinQ washing machines in India, which has an artificial intelligent direct drive motor.

Significant Growth for Smart Ovens Segment:

The smart ovens segment is expected to register a significantly fast revenue growth rate over the forecast period due to increasing demand for smart ovens for heating and cooking foods among households. Smart ovens can connect with other smart devices in house such as phones, Amazon Alexa, smart microwaves, smart dishwashers, and others. These ovens also enable faster and smarter cooking since they contain pre-sets for different types of food that provide the best outcomes automatically. It enables users to select a meal from pre-programmed recipes, regulate cooking temperature and time remotely, download recipes, and help with food shopping. In September 2019, Amazon has launched an Alexa-enabled smart oven, which is a combination of convection cooker microwave, food warmer, and air fryer.

Smart Appliances Distribution Channel Insights:

Based on distribution channel, the global smart appliances market is segmented into offline and online.

Dominance of Offline Segment:

The offline segment accounted for largest revenue share in 2021 due to rising preference to purchase smart appliances offline such as electronic stores, supermarkets, hypermarkets, and others. Involvement of an in-store expert or associate, assistance with product demonstrations, and ease of physically seeing the product are some of the factors driving offline sales revenue growth of smart appliances. In addition, capability of price and product attribute comparisons as well as accessibility of a large selection of goods offered by various companies is expected to drive revenue growth of this segment.

Smart Appliances Technology Insights:

Based on technology, the global smart appliances market is segmented into Wi-Fi, Bluetooth, Near Field Communication (NFC), Zigbee, and others.

Dominance of Wi-Fi Segment:

The Wi-Fi segment is expected to account for a significantly large revenue share over the forecast period due to growing adoption of Wi-Fi based appliances among users. Wi-Fi technology is mostly applied in homes and businesses as a wired LAN replacement and has shown to be an efficient way to control home equipment from a distance in present days. In May 2022, Hisense, a multinational electronics manufacturer revealed a new line of smart home appliances that are Wi-Fi enabled. The product line includes washing machines, refrigerators, beverage coolers, and smart cleaners.

Smart Appliances End-use Insights:

Based on end-use, the global smart appliances market is segmented into residential and commercial.

Dominance of Residential Segment:

The residential segment revenue is expected to account for a significantly large revenue share over the forecast period due to rising adoption of smart appliances among residential customers. Increasing penetration of internet and rising trend of digitalization across the globe are supporting revenue growth of this segment. Customers prefer smart appliances due to ease it provides and can be controlled from anywhere with using smartphones. In addition, rising number of home renovation projects across the globe is making way for various smart products for residential applications.

Smart Appliances Regional Insights:

Smart Appliances North America Market

North America accounted for largest revenue share in the global smart appliances market in 2021 This is due to rising adoption of smart appliances in the residential sector and various development of smart home projects in countries across this region, especially in the U.S. and Canada. In 2020, approximately 37% of U.S. households would own a smart home device. According to research, the percentage of internet users in the U.S. who use a smart appliance is expected to rise from 10.5% in 2021 to 21.0% by 2025. Around 80 million U.S. households planned to buy a new type of smart device in in 2020. Furthermore, increased consumer preferences for technologically advanced connected appliances is expected to drive revenue growth of the market in this region.

Smart Appliances Asia Pacific market

Asia Pacific is expected to register a significantly fast revenue growth rate during the forecast period due to rapid growth of IoT and ongoing smart city development projects in countries across this region, especially in China, Japan, and India. Increasing efforts by Chinese government to increase consumption of green and smart home appliances, as well as replacement of old home equipment is expected to increase demand for smart home appliances in this country. According to research, in 2021, China's home appliance business was worth USD 120.3 billion, increasing 3.6% year on year. Smart televisions, refrigerators, and washing machines are becoming increasingly popular among Chinese customers. In India, from slightly over 200 million connected devices in 2019, reach of IoT, combined with rapid digital change during pandemic, increased number of connected devices to over 2 billion by 2021. This expansion is expected to be driven further by rising internet penetration in India, where the number of active internet users is expected to reach 900 million by 2025. Furthermore, with introduction of 5G technology in India, connectivity and access to smart technologies will become more accessible, simple, and all-encompassing.

Smart Appliances Europe Market

Europe is expected to register a modest revenue growth rate during the forecast period. This is due to growing penetration of smart homes and integration of modern technology, such as Artificial Intelligence (AI), with smart appliances in countries across this region, especially in the UK, Germany, and France. Refrigerators, air conditioners, dishwashers, ovens, washing machines, heating systems, and other typical household items have the potential to be transformed into smart home equipment in this region. According to research, in 2021, 41% of all Germans installed at least one smart home product, which also included smart appliances.

Smart Appliances Top Companies and Competitive Landscape

The global smart appliances market is fairly fragmented, with many large and medium-sized players accounting for majority of market revenue. Major players are deploying various strategies, entering into mergers & acquisitions, strategic agreements & contracts, developing, testing, and introducing more effective smart appliances.

Some major companies included in the Smart Appliances Market report are:

• LG Electronics
• Samsung Electronics
• Electrolux
• Panasonic Corporation
• Haier Group Corporation
• Koninklijke Philips N.V.
• Xiaomi
• BSH Hausgeräte GmbH
• Miele
• Whirlpool Corporation

Smart Appliances Latest Industry News

• On 07 June 2022, Samsung Electronics, a South Korea-based electronics company announced the global launch of SmartThings Home Life, which will provide users across the globe with a more comprehensive smart home experience. This service is a new feature of SmartThings app that allows users to operate their Samsung appliances from a single location. SmartThings Home Life expands quality of life at home and puts one in control all from their smartphone.
• On 21 April 2021, LG Electronics, a South Korea-based electronics company extended smart appliance owner benefits with amazon smart reorders. The company announced a connection with Amazon smart reorders, which would provide users with a smarter method to reorder laundry detergent, water filters, and other products based on their unique consumption and preferences. This service is the newest addition to LG's ThinQ features, which include easy automation and purchasing, as well as proactive customer care.

Smart Appliances Report Summary

Smart Appliances Market Segment Analysis

For the purpose of this report, Emergen Research has segmented the global smart appliances market based on product, distribution channel, technology, end-use, and region:

• Product Outlook (Revenue, USD Billion; 2019-2030)

  • Smart Refrigerators
  • Smart Air Conditioners
  • Smart Microwave Ovens
  • Smart Dishwashers
  • Smart Washing Machines and Dryers
  • Smart Water Heaters
  • Smart Coffee Makers
  • Smart Ovens
  • Smart Vacuum Cleaners
  • Others

• Distribution Channel Outlook (Revenue, USD Billion; 2019-2030)

  • Offline
  • Online

• Technology Outlook (Revenue, USD Billion; 2019-2030)

  • Wi-Fi
  • Bluetooth
  • Near Field Communication (NFC)
  • Zigbee
  • Others

• End-Use Outlook (Revenue, USD Billion; 2019-2030)

  • Residential
  • Commercial

• Regional Outlook (Revenue, USD Billion; 2019–2030)

  • North America
    1. U.S.
    2. Canada
    3. Mexico
  • Europe
    1. Germany
    2. France
    3. UK
    4. Italy
    5. Spain
    6. Benelux
    7. Rest of Europe
  • Asia Pacific
    1. China
    2. India
    3. Japan
    4. South Korea
    5. Rest of APAC
  • Latin America
    1. Brazil
    2. Rest of LATAM
  • Middle East & Africa
    1. Saudi Arabia
    2. UAE
    3. South Africa
    4. Turkey
    5. Rest of Middle East & Africa