Parks Associates reports U.S. IP-based home monitoring service market will reach $4.4 billion by 2016
Parks Associates projects the percentage of U.S. households with professionally monitored services will expand to 30% by 2020, with consumer demand for remote monitoring, coupled with the expanding presence of broadband service providers, driving growth in the security market.
In its new report IP-based Home Monitoring: Security, which analyzes trends driving the market in 2011 and beyond, the international research firm estimates U.S. security monitoring, representing 18% of U.S. households in 2010, generates up to $10 billion annually from service fees, and consumer demand will drive further market expansion. One-third of U.S. consumers in broadband households find remote control of lights, appliances and thermostats via Web-enabled devices very appealing. Nearly 50% find email/text notification of smoke, fire, water, or gas leaks very appealing.
Parks Associates analysts say broadband providers are well-positioned to tap into this market due to their existing infrastructure and ongoing customer relationships, and their field operations can enable a range of digital home management services.
"With the popularity of smartphones, tablets, and other Web-enabled devices, consumers are carrying a link to their home systems," said Bill Ablondi, director, home systems research, Parks Associates. "Widespread availability of broadband is also disrupting the traditional business model of security companies and introducing new competition from service providers, who are leveraging their networks to create new services and expand ARPU. These Internet-connected security systems, which provide additional capabilities and benefits, are expanding the residential security market by bringing new customers into what was a relatively stagnant consumer base. ”
Parks Associates will discuss new trends and consumer data for the residential monitoring industries at Smart Energy Summit: Engaging the Consumer. This three-day executive conference will take place in Austin, Texas, February 28 - March 1, 2012. More information at www.smartenergysummit2012.com.
IP-based Home Monitoring: Security provides an assessment of how broadband Internet access will disrupt the residential security service industry and how new business models will emerge to create new opportunities for incumbent providers as well as new entrants. In addition, it provides forecasts through 2020 for adoption and revenues for security services, along with background about the forecasting methodology. For more information, visit http://www.parksassociates.com or contact 972-490-1113, firstname.lastname@example.org.