Europe Home Automation Market Outlook, 2028

Home Automation System (HA) — dedicated to implementing control and monitoring of household goods like lighting system, windows and doors, fans, air conditioning (AC) systems, relay type controls, measuring environment parameters and characterizing environment conditions, performing home surveillance and granting home security. The home automation industry in Europe is largely represented by, the European Building Automation and Controls Association (Eubac) which is an industry platform supporting home controls, building automation and energy services. The European Design and Automation Association (EDAA) is a non-profit organization that promotes the development and application of electronic design and design automation (EDA) technologies. EDA technologies are used to design and develop the integrated circuits (ICs) that are used in many home automation products. The companies’ offers home automation in Europe includes Siemens AG, Schneider Electric, Philips, Legrand SA, and many others. IoT (Internet of Things) technology had been steadily influencing the growth of home automation systems in Europe, and this trend was expected to continue. The European Commission's IoT policy promotes the use of new technologies to boost the digital and green transition of the economy and society including home automation systems. IoT sensors for home automation include temperature sensors, lux sensors, water level sensors, air composition sensors, video cameras for surveillance, and others. According to the research report, “Europe Home Automation System Market Outlook, 2028” published by Bonafide Research, the market is anticipated to add more than USD 8 Billion from 2023 to 2028. A growing emphasis on convenience and energy economy, along with shifting consumer lifestyles, has led to a confluence of technology developments and spectacular growth in the European home automation market in recent years. The increased use of smart gadgets and the expansion of high-speed internet connectivity throughout the continent are the main causes of this spike in demand for home automation systems. These days, homeowners want to combine their voice commands or smartphones to operate their entertainment, security, lighting, and heating systems into unified, user-friendly ecosystems. The variety of interoperable products and services is growing as the Internet of Things (IoT) develops, allowing users to manage their homes more comprehensively. The COVID-19 epidemic has highlighted the significance of home automation as social alienation and remote labor have become commonplace. People are spending more time at home, which has increased demand for smart technology that improved security and comfort. By providing features like climate control, contactless entry control, and remote surveillance, home automation solutions have demonstrated their value and met the demand for more secure and functional living environments. Incentives and laws that support sustainability and energy efficiency are also fueling Europe's growing home automation business. Smart home technologies are essential to accomplishing the energy and carbon emission reductions that governments and regulatory agencies are pushing on households. To optimize energy use and thus reduce utility bills, for example, energy management systems, lighting controls, and smart thermostats are essential.

On the basis of geography, the market is segmented into countries including Germany, United Kingdom, France, Spain, Italy, Russia, and rest of Europe. Germany leads the home automation industry in particular owing to its strong standing in the engineering and technology industries. German businesses are renowned for creating innovative, dependable, and high-quality home automation products. These products range from security systems to smart lighting systems and thermostats. The adoption of home automation systems has also been fueled by Germany's versatility and dedication to sustainability and energy efficiency. The emphasis on energy-efficient solutions is in line with the worldwide movement towards smarter and greener houses. KNX is a popular home automation system in Germany. KNX systems can adapt to changing requirements, increase the value of real estate, and reduce upgrading costs. Home automation in the United Kingdom has been growing steadily, with increasing adoption of smart technologies and systems. Voice-activated smart assistants like Amazon Echo and Google Home have gained popularity for controlling various aspects of the home. Home security and surveillance systems have become more advanced, with options for remote monitoring and control. This includes smart doorbells, cameras, and alarm systems. The market is segmented based on the Type of home automation systems; it includes mainstream home automation system, luxury home automation system, managed home automation system and DIY (do it yourself) home automation system. The dominant player in this market is the mainstream home automation system. These systems are favored by a wide range of consumers due to their affordability and accessibility. They typically include essential smart features for tasks like lighting control, security, and climate management, making them an attractive choice for the average homeowner. Simultaneously, luxury home automation systems hold a significant market share, catering to those seeking advanced and highly customizable solutions. These high-end systems often encompass integrated entertainment, intricate lighting controls, and sophisticated climate management, appealing to affluent individuals looking to create a truly immersive smart home experience. Moreover, there's a growing trend towards DIY home automation systems. Many Europeans are increasingly drawn to the idea of taking control of their smart home setup without the need for professional installation. This DIY approach is both cost-effective and empowering, allowing users to tailor their automation features to their preferences. It's expected that the popularity of DIY systems will continue to surge in the coming years 2023-2028 as technology becomes more user-friendly and accessible. Managed home automation systems also play a substantial role in the European market. These systems are typically installed and maintained by experts, offering a comprehensive and hands-off approach to home automation. They are preferred by homeowners with larger or more complex properties who seek the utmost integration and customization. The European home automation market is characterized by this diverse array of choices, and it is poised for continued growth as technology advancements and the desire for energy efficiency and convenience continue to drive consumer demand. By Network technology, the report is categorized into wireless technology, wired technology, and power line based technology. Due to its versatility and ease of use, wireless home automation technology has clearly proven a great popularity among European consumers. Wireless systems are a popular option for people wishing to build a smart and connected home because of their simple installation and scalability. Wired and power line-based home automation systems continue to command a large portion of the European market. These systems have clear benefits, especially when it comes to performance consistency and dependability, which are important for vital applications like lighting management and security. For some automation components, companies and homeowners prefer wired connections due to their dependability and data speed. Additionally, power line-based systems provide an enticing compromise by fusing some of the dependability of wired systems with the ease of wireless configurations. Power line-based systems leverage existing electrical infrastructure for data transmission. The coexistence of these multiple technologies highlights the fact that the home automation market is a dynamic environment where a variety of solutions are available to meet a wide range of demands, rather than a one-size-fits-all scenario. It also reflects the differing wants and tastes of customers across European countries.

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Manmayi Raval

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Fitment of home automation system is based on the Retrofit and the new construction. The retrofit installation of home automation systems is the most common trend in the European home automation market, and it is closely followed by the new build installation trend. Retrofit fitting, which involves adding automation and smart technology to pre-existing homes, is quite popular for a number of good reasons. The growing demand from consumers to upgrade their existing homes with smart solutions, motivated by the need for more convenience, energy efficiency, and security, is one important cause. The benefits of home automation are provided through retrofit systems without requiring major structural alterations or brand-new construction, which makes them appealing. Additionally, retrofit systems tend to be more cost-effective, making them accessible to a broader range of homeowners. Conversely, new construction fitment, while slightly trailing behind retrofit installations, is an important segment of the market. In newly constructed homes and buildings, incorporating home automation from the outset has become increasingly common. This approach allows for a more seamless integration of automation features into the building's infrastructure, ensuring that all components work harmoniously from the start. It's often preferred by architects, developers, and homeowners who are looking for a comprehensive, future-ready smart home experience, with features such as integrated lighting, HVAC, security, and entertainment systems. Ultimately, the coexistence of both retrofit and new construction fitment options underscores the versatility and adaptability of the European home automation market. It caters to the diverse needs and preferences of consumers, whether they are seeking to enhance their existing homes with the latest automation technologies or building new properties with smart features embedded in the very foundation. The market is segmented based on the Applications, into security and access control, lighting control, entertainment system, HVAC control, and others (smoke detector, smart plugs, etc.) The usage of home automation systems for security and access control in particular has made them stand out in the market as the most common use case. The increasing need for improved security and comfort has resulted in a rise in the usage of intelligent security solutions, including motion sensors, smart locks, and video monitoring. With the remote monitoring and control these systems provide, homeowners are more likely to safeguard their homes. Closely behind in popularity is lighting control, which has become incredibly popular due to its ability to change the atmosphere and energy efficiency of living areas. Another key component of home automation is entertainment systems, which include smart TVs, music players, and home theaters. They offer smooth, immersive entertainment experiences that improve consumers' quality of life when they want to unwind and have fun in the comforts of their own homes. Furthermore, because HVAC (heating, ventilation, and air conditioning) control makes precise climate management and energy conservation possible, it is an essential part of the ecology of the smart home. The potential of smart heating and cooling systems and thermostats to maximize comfort while lowering energy costs has made them popular. Apart from these main uses, there are a few additional crucial components, such as smart plugs that provide control over many appliances and gadgets and smoke detectors that provide early fire detection. These characteristics add to the overall safety, efficiency, and convenience of houses, which helps explain the market's diversity for home automation systems. These apps are anticipated to significantly improve homeowners' lives and get more integrated for a full smart home experience as technology develops and integrates more smoothly. Start-ups • EI Live Europe is a trade show and conference for the home automation and integration industry. It is held annually in Amsterdam, the Netherlands. EI Live Europe is a good place to learn about the latest home automation products and technologies and to network with other professionals in the industry. • ABB announced the acquisition of Eve Systems GmbH on June 12, 2023. Eve Systems is a Munich-based smart home products company with operations in Europe and the United States.

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Companies covered in the report: Assa Abloy AB, ABB, Honeywell International, Inc., Larsen & Toubro Ltd, Samsung Electronics Co., Ltd., Siemens AG, Legrand, Alphabet Inc, Schneider Electric SE, Signify N.V. Considered in this report: • Geography: Europe • Historic year: 2017 • Base year: 2022 • Estimated year: 2023 • Forecast year: 2028 Aspects covered in this report: • Europe Home Automation System market with its value and forecast along with its segments • Various drivers and challenges • On-going trends and developments • Top profiled companies • Strategic recommendation Countries covered in the report: • Germany • United Kingdom (UK) • France • Italy • Spain • Russia By Type: • Luxury Home Automation System • Mainstream Home Automation System • DIY (Do It Yourself) Home Automation System • Managed Home Automation System By Network Technology: • Wireless • Wired • Power-Line Based By Fitment: • Retrofit • New Construction By Application: • Security and Access Control • Lighting Control • Entertainment System • HVAC Control • Others (Smoke Detector, Smart Plugs, etc.) The approach of the report: This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources. Intended audience: This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Home Automation System industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.