The Smart Home market will double its turnover in a few years in Italy, to exceed 1 billion euros by 2023, with positive effects on the real estate and insurance market. An increase driven by the pandemic and more time spent at home. This is what emerged from report by the Tim Study Center "Smart home Internet of things in Italian homes".
In detail, in 2020 the Italian Smart Home market has reached a value of approximately 566 million euros, down 6% compared to 2019, but with great growth potential in the coming years. Growth expectations were driven by the new trends that emerged during the health crisis and by incentives linked to energy efficiency (such as ecobonus and superbonus). For 90% of Italians interviewed by Doxa, the house is at the top of their priorities and 48% are not fully satisfied with their homes.
This has led many families to convert their homes into offices, classrooms for dads and gyms where they can do physical activity. It is precisely the prolonged stay in one's own homes that has stimulated the rethinking of domestic spaces from a smart point of view: 23% believe that the ideal home is the smart one, with a stable and fast internet connection, a connection that can be controlled remotely via smartphone and advanced security systems and leak and fault detectors.
It is a market that is worth in the world approx 68 billion euros in 2020 and that can touch i 110 billion in the next few years, with an average annual increase of 17%. The USA and China remain the main leaders, with growth of 20% and 40% respectively in 2019, while in Europe Germany and England are the leaders (with a turnover of 3,2 billion). In last place are Spain and Italy, but they are also those with the best growth prospects (around 26% per year).
What advantages can the Smart Home bring? First, in terms of energy saving and, therefore, a reduction in carbon dioxide emissions. According to the analysis by the Centro Studi Tim, energy monitoring systems can generate savings of up to 3,5 billion euros a year if used massively, as well as reduce national domestic electricity consumption by 10-15%, leading to an overall reduction of about 1,7-2,5 million tons of CO2.
One of the aspects most appreciated by Italians is related to security and privacy. Telecommunications operators and insurance companies are working to offer increasingly secure connections and solutions against cyber risks.
As regards the Real Estate Market, the Smart Home is perceived as a differentiating factor. It is estimated that on average you pay for the purchase of a house with fiber optics a 3% higher price, 15% in the case of rent. Homes without a fast connection can instead be worth 20-24% less. Thus, homes with a smart solution installed can add 1%-5% in value.
Sul insurance marketOn the other hand, the presence of humidity sensors and water monitoring causes 90% less damage and those with ultra-broadband video surveillance services suffer fewer thefts. However, in Italy the Smart Home in the insurance field is still a marketing tool, associated with offers on real estate as a differentiating element, while in the USA consumers see positively an insurance policy linked to a smart home and would pay for the service against certain incentives .
“The research on the Smart Home, which we developed with the TIM Study Center highlights how the availability of a smart home, connected with ultra-broadband and equipped with modern home automation devices, not only makes the lives of those who live there more comfortable and safer but it contributes to improving the environment while also supporting the country's ecological transition,” he said Charles Nardello Chief Strategy, Business Development and Transformation Officer of TIM.
"We thought it interesting to analyze the concept of home for Italians and the effects that the spread of Smart Homes and broadband could have in the near future on Italian real estate assets compared to other countries - he added Lorenzo Leaf, Head of Devices and Innovative Services at Tim -. Equally significant were the possible effects on the insurance market, for which the Smart Home could be the key to reducing insurance risk and providing personalized offers".
