Smart Kitchen Appliances Market Expected to Witness Robust Growth

The kitchen has always been the heart of the home. During the last three decades, it has become a fast-growing space for technological advancements, and the increasing number of smart appliances is a testimony to this ongoing trend. Smart appliances are expected to witness further improvement in the future and are creating a demand for home automation systems.

The application of IoT provides interconnectivity and interoperability for smart kitchen appliances. Despite being a fairly new concept, smart kitchen appliances are expected to witness robust growth during the forecast period, 2019-2024. According to the market intelligence report published by BIS Research, the global smart kitchen appliances market generated a revenue of $2.40 billion in 2018 and is projected to grow at a CAGR of 23.08% during the forecast period from 2019 to 2024.

The need for consumers to elevate from traditional appliances to smart and connected appliances has resulted in awareness regarding smart kitchen appliances among consumers across different countries, and this is expected to drive the market. This advancement in kitchen appliances is aimed at removing extensive manual inputs required by traditional kitchen appliances. Global kitchen and home appliance manufacturers and technology providers have collaborated to enhance product offerings and resulted in intensive product development.

Smart Kitchen Market Dynamics

The global smart kitchen appliances market is influenced by a number of factors that are responsible for promoting its growth and also restricting it. Factors that are responsible for augmenting the growth include increasing funding in smart cities, demand for smart kitchen appliances, and the rise in demand for connected devices.

In the last five years, the adoption rate of smart cities has witnessed a massive increase, as governments have taken major steps and invested well in transforming communities into smart cities. Further, smart home appliances manufacturers have developed innovative and connected smart devices. These devices with in-built sensors and innovative AI technologies, help users to manage their time efficiently, and offer features such as self-monitoring for minimizing energy consumption. These technologies promote the green ecosystem and the use of renewable sources of energy.

Reducing the consumption of energy through IoT devices is one of the major concerns of the players in the smart appliances market. The development of information control technology for energy saving has led to green IoT, which focuses on reducing energy consumption by smart IoT centered appliances. Green IoT plays a significant role in deploying IoT to reduce energy consumption, pollution, and CO₂ emission, conservation of the environment, and minimizing power consumption.

At the same time, data privacy and IoT security-related concerns among consumers and high purchasing cost of smart kitchen appliances are the two factors that are restraining the growth of the market. Each of these factors is projected to be of high importance only in the near future, that is, for one to three years. However, the factors are expected to have a medium impact in the next four to six years.

The introduction of IoT for kitchen appliances, along with the addition of sensors and networking, has enhanced connectivity between the users and the kitchen appliances. Cyber-attacks and hacking into IoT-connected devices are expected to have harmful real-world consequences.

With regular disruption by new technologies in the home appliance industry, companies are constantly introducing innovations in their smart kitchen appliances. Therefore, prices of smart appliances are rising with every new technological advancement in the product. It has been observed the rate at which the prices of smart appliances are increasing is not at par with the rate of spending of average household on consumer goods, thus restricting the expected increase in sales of smart appliances.

Market Segmentation

The smart kitchen appliances market has been categorized on the basis of product, technology, distribution channel, end user, and region for the purpose of analysis.

The products segment include smart refrigerators, smart dishwashers, smart cooktops & ranges, smart microwaves & ovens, smart coffee machines, and others. Amongst all the appliances, smart refrigerators were dominating the market in 2019 and are expected to maintain their dominance by 2024. However, the smart coffee machines segment is projected to showcase the highest growth in the market during the forecast period and, in a way, drive the growth of the smart kitchen appliances market.

Wi-Fi/ Bluetooth and other wireless communication standards are the sub-segments of the smart kitchen appliances market by technology. The Wi-Fi/Bluetooth technology dominated the market in 2019 and is projected to dominate the market in 2024 as well, in terms of revenue generated.

On the basis of distribution channel, the market is segmented into offline and online channels. The offline channels include wholesaler/distributor and experience center. The online channel includes third-party e-commerce websites and companies branded in online retail stores. Online channels of distribution are expected to generate more revenue in 2024. However, the offline segment is expected to grow at a higher rate.

Residential and commercial are the two end user segments covered in the market. The commercial segment of the market is projected to showcase the highest growth of 24.46% during the forecast period from 2019 to 2024.

Lastly, the regional segmentation includes the data of the market for regions, such as North America, Europe, and Asia-Pacific Japan, the U.K., South America, Middle East and Africa, and China.

Major Players Operating in the Market

Global Smart Kitchen Appliances Market

For more information, see the industry report Global Smart Kitchen Appliances Market, which provides critical insights into the market. This comprehensive report draws on research from a mix of primary interviews and secondary research, along with analytical tools that have been used to build the forecast and predictive models. A free sample of this report is available on the description page on MarketResearch.com.

About the Publisher: BIS Research is a global market intelligence, research and advisory company that focuses on emerging technology trends that are likely to disrupt the market. Its team includes industry veterans, experts, and analysts with diverse backgrounds in consulting, investment banking, government, and academia.