To improve home security is a reason driving consumers to buy smart home devices . According to a report published by Parks Associates, 42% of new security installations in the United States included a smart home device like a smart door lock, smart lighting or thermostat.
In addition, more than 70% of new security system installations involved remote monitoring and control, which is called “interactive services” by the company. At the end of 2016, almost 60% of U.S. broadband households equipped with professional monitoring had this kind of interactive service.
“The importance of interactive services is apparent, as dealers recognize and acknowledge the positive impact on attrition rates, the ability to drive higher RMR, and the ability to attract new customers to the security market,” said Dina Abdelrazik, a research analyst at Parks Associates.
The research firm estimated that around 23% to 25% of U.S. broadband households own a working security system and 21% to 22% have installed professionally monitored security system. According to data in Q4 2016, about one-third of homes with a professionally monitored security system had smart home features integrated into the system.
In 2016, professional monitoring created nearly $11.7 billion in sales. More than 50% smart safety and security devices are acquired as part of a household’s security system.
“Vendors who have embraced the transition to interactive services and home controls are experiencing success,” Abdelrazik says. “Smaller, local dealers are not embracing interactive services and home controls due mainly to support concerns, and they are losing share as a result.” Among smaller, local dealers, only 53% of new installs have interactive services, and 18% of new security system installations include a home control device.