Samsung BNB Integrated Offering’s Smart Home Buyer Index 2024 revealed that 79% of people surveyed said that they want a smart home
The SHBI also found that those surveyed were willing to pay an average premium of 7.7% on the average UK house price of £282,776, around £21,774.
The smart home market is predicted to show a compound annual growth rate of 11.66% between 2024 and 2028 and generate projected revenues of around £8.6bn in 2024 alone, indicating that the movement is accelerating.
Financial concerns are high for those looking for a smart home
Alongside the 63% who sought cost savings through technology, approximately 70% of respondents cited energy efficiency as a key reason for using smart technology.
Additionally, 84% wanted to reduce their energy bills.
Samsung’s analysis of search volumes supports this trend, showing a nearly 60% increase in searches for smart energy appliances from April 2023 to April 2024.
Air source heat pumps led this surge, with search volumes rising 173% year-on-year, surpassing those for smart meters.
Mark Seaman, head of Samsung B2B Integrated Offering Team, said: “The data shows that understanding the importance consumers place on smart homes will increase the value of rental and sale prices to help drive return on investment for homebuilders and developers.”
An energy-efficient focus welcome for industry
The emphasis on energy efficiency is good news for an industry preparing for the UK Government’s Future Homes and Buildings Standards.
Starting in 2025, these standards require new homes to produce 75% to 80% less carbon than those built under previous regulations.
Homebuilders and developers who integrate future-proof technologies can help people achieve energy efficiencies and cost savings, especially as new technologies emerge.
Home security named as biggest reason for integrating smart technology
Following energy efficiency and cost savings, home security was the next major reason for integrating smart technology, with 75% seeking peace of mind and protection through connected security features like doorbells and cameras.
Integrating connectivity into homes enables secure networks accessible from phones and other devices, enhancing security and control.
Trends across age demographics
Smart homes are not just for young people. There has been a rise in interest among those over 65 who want to benefit from smart technology.
The industry must, therefore, address the needs of all age groups, not just younger generations. This is especially important as the older UK population is expected to grow to around 26% by 2066.
The UK construction industry expects new work output to grow by 21% from 2024 to 2029
Those managing new construction projects should note the SHBI’s insight that technology is a major factor in attracting people to new builds.
The survey revealed that 80% find these homes appealing, with 36% citing pre-fitted smart technology as the primary reason.
Additionally, 53% believe new developments are designed for modern living, likely due to their technological capabilities, while 57% are motivated by energy efficiency.
Specifically, 40% of people over 65 said that pre-fitted technology would encourage them to move into new builds, underscoring the importance of integrating technology in all types of homes, including retirement properties.
Seaman concluded: “Recent years have seen significant focus on the UK housing market, and the cost-of-living crisis, rising inflation and uncertain energy prices have also been top of many people’s agendas.
“There is a real opportunity for developers and homebuilders to engage the right partners and integrate technology from the outset, taking a digital-first approach when building the homes of tomorrow, today.”
