Global Home Energy Management System Market Outlook Report 2023-2029: Rise in Emergence of New Technologies Such as IoT, AI, and ML Fueling Growth
DUBLIN, Feb. 22, 2024 /PRNewswire/ -- The "Global Home Energy Management System Market - Outlook & Forecast 2024-2029" report has been added to ResearchAndMarkets.com's offering.
The global home energy management system market was valued at USD 4.02 billion in 2023 and is expected reach a value of $9.41 billion by 2029, growing at a CAGR of 15.23% from 2023-2029
The global home energy management system market is projected to grow rapidly in the coming years. A large number of players characterizes the global industry. The key players in the global home energy management system market are Honeywell International, General Electric, Robert Bosch, Panasonic, and Comcast (Xfinity).
The home energy management system market is well-developed in North America and Europe. The rising manufacturing of automated home energy management systems will stimulate product demand in North America. With the rise in household needs, the key vendors witnessed new technologies to deliver quality and remove the existing complexities for customer experience.
Further, the growing disposable income and rapid shifting towards urbanization and modernization are some of the major global market drivers. Introducing innovative and differentiated products and green technologies further fuels the market's growth.
INSIGHTS BY COMPONENT
The hardware component segment dominated the global home energy management system market in 2023 and is projected to witness the highest segmental CAGR during the forecast period.
Hardware includes all the physical components in the home energy management system, including energy meters, smart thermostats, and others. The central unit of the home energy management system is the key part of hardware essential for the system's functioning. Smart meters are key hardware installed, as they deliver real-time data on electricity usage, providing useful insights into energy consumption patterns.
Several homeowners are investing in smart devices to lessen energy costs, enhance comfort, and improve energy efficiency. For example, thermostats and lighting control systems are popular hardware components usually integrated into home energy management systems. Some incentives and regulations in certain regions require or boost energy-monitoring hardware systems for residential buildings. This propels the market demand for home energy management systems for energy-efficient upgrades.
INSIGHTS BY HARDWARE
The global home energy management system market by hardware is segmented into smart meters, smart thermostats, lighting controls, and plugs.
The smart meters hardware segment dominated the global market, accounting for a segmental share of over 35% in 2023. Smart meters are key hardware installed, as they deliver real-time data on electricity usage, providing useful insights into energy consumption patterns. Also, among hardware components, smart thermostats have increasingly gained popularity in recent years owing to their connectivity features.
Mobile apps control these devices remotely and enable users to set temperatures from anywhere. They can also be incorporated with other smart devices, such as blinds and lighting, and help manage energy. Moreover, various smart thermostats offer exhaustive energy usage reports, allowing homeowners to monitor their consumption and find opportunities for further energy savings.
Thermostats predominantly control the heating, ventilation, and air conditioning (HVAC) systems. In residential energy consumption, HVAC systems are amongst the most substantial contributors, which control them efficiently and can lead to considerable energy savings. For many years, conventional thermostats have been a prevailing fixture in homes, making the transition to smart thermostats easier for users.
INSIGHTS BY TECHNOLOGY
The wireless protocols technology segment is expected to be the largest revenue segment of the global home energy management system market.
Home energy management systems leverage wireless technology to streamline and enhance the control of various energy-consuming devices within a household. One prominent wireless technology employed in HEMS is Wi-Fi. Bluetooth technology is another key player in HEMS. Its low-power variant, Bluetooth Low Energy (BLE), is often utilized to facilitate communication between devices over short distances.
This is particularly useful for smart home applications, as BLE allows for efficient data exchange between energy management components, ensuring real-time responsiveness and energy optimization. Integrating wireless technology in HEMS enhances convenience and promotes interoperability among various smart devices.
INSIGHTS BY WIRELESS
The global home energy management system market by wireless is segmented into Wi-Fi, Zigbee, Z-wave, Bluetooth, and others.
In 2023, the Wi-Fi home energy management system market accounted for a major market share and will grow significantly during the forecast period. The market's growth can be attributed to the easy accessibility and wide reach of Wi-Fi-enabled home energy management systems. The superior technological infrastructure is pushing the demand for smart products globally. Various residential end-users are deploying Wi-Fi home energy management systems for easy access.
The high smartphone and Internet penetration is further adding to the revenue of home energy management system vendors. The population across the globe is increasingly equipping their homes with technologically advanced products that can be controlled through mobile devices. Thus, the surge in smart homes is expected to push the demand for home energy management systems controlled using the Zigbee and Z-Wave operated hub.
INSIGHTS BY RESIDENCE TYPE
The global home energy management system market by residence type is segmented into single-family and multi-family.
The single-family segment holds the most prominent market share in 2023. There has been an increasing demand for home energy management systems in single-family housing for various reasons. Home energy management systems have gained significant popularity as users seek to lower utility bills, lower energy consumption, and contribute to an eco-friendly and sustainable lifestyle.
Moreover, various factors are driving their demand for single-family housing. For instance, increasing energy costs makes households conscious of their utility bills. These systems help control energy consumption, improve it, and reduce costs. They intelligently manage lighting, cooling, heating, and appliance usage.
Moreover, the increasing concerns for climate change and the environment have directed various users to look for ways to reduce their carbon footprint. Home energy management systems play a significant role by fostering energy efficiency and allowing the incorporation of renewable energy sources, such as solar panels.
INSIGHTS BY APPLICATION
The new construction application segment is expected to be the largest revenue segment of the global home energy management system market. The global home energy management system market has huge growth opportunities in the new construction segment.
Moreover, with growing construction activities in several developing countries, the rising residential sector is boosting the demand for home energy management systems by new construction. Compared to retrofitting existing buildings, integrating home energy management systems in new construction is more cost-effective and enables the smooth incorporation of energy-efficient technologies.
Industry Overview
- Evolution of Home Energy Management Systems
- Emerging Energy Management Systems
- Trend Toward Decentralized Energy Generation
- Transforming Value Chain
- Shift Toward Sector Coupling
- Advantages of Home Energy Management Systems
- Providing Value for Homeowners
- Providing Value for Grid Operators and Energy Systems
- Providing Value for Service Providers and OEMs
- Cost Saving by Home Energy Management Systems
- Energy Star Program by EPA Led to Advances in Energy Management System
- Incentives for Energy Management Systems
- Federal Incentives
- High-Efficiency Electric Home Rebate Act (Heehra)
- Energy Efficient Home Credit
- Residential Construction
Market Opportunities & Trends
- Increase in Number of Smart Homes
- Increase in Adoption of Home Battery Storage Systems
- Growth in Demand for Smart Energy Monitoring in Sustainable Buildings
Market Growth Enablers
- Rise in Housing Investments
- Rise in Emergence of New Technologies (IoT, AI/ML)
- Surge in Adoption of Electric Vehicles
Market Restraints
- High Initial Costs
- Data Privacy and Security Issues
Key Company Profiles
- Honeywell International
- General Electric
- Robert Bosch
- Panasonic
- Comcast (Xfinity)
Other Prominent Vendors
- Alphabet
- ecobee
- EnergyHub
- Vivint (NRG)
- Alarm.com
- EcoFactor
- Johnson Controls
- Schneider Electric
- LG
- Hitachi
- Toshiba
- Xiaomi
- TP-Link
- Netatmo
- Centrica
- Efergy
- FIBARO
- ABB
- Geo (Green Energy Options)
- Smappee
- Iltron
- Landis+Gyr
- tado
- Amazon
- Belkin
- Inavitas
For more information about this report visit https://www.researchandmarkets.com/r/q6p17c
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