Navigant Research Blog

Installation and Customer Support Play Vital Role in Creating Smarter Homes

Paige Leuschner — August 10, 2017

The novelty of having a smart home is driving connected device adoption among consumers, but the novelty is wearing off as the concept of a smart home becomes a reality. The smart home market, however, still has a long way to go before it reaches mainstream adoption. One of the major issues this market faces is that many consumers do not understand the value of connected devices. Many customers avoid the market entirely or exchange smart devices for dumb counterparts due to premium prices and installation challenges.

Providers Exploring New Methods

This is an issue that smart home technology providers are trying to tackle by providing additional support to customers. For example, Vivint and Best Buy recently announced a partnership to roll out Vivint employees in more than 400 Best Buy stores around the country. The Vivint employees will be able to give customers advice about smart home devices and even provide installation services. Vivint has traditionally sold its solutions through a direct-to-home approach. The company believes its partnership with Best Buy further develops this approach and its core belief in consultative sales—or human interaction to explain how smart home technologies actually work in the home. This move may help increase adoption by not only providing customers with more support and information, but also making smart home solutions more visible and accessible through availability at a large retailer.

Vivint and Best Buy are not the only companies exploring this method. Amazon is taking a similar approach to increasing smart home customer support by preparing an in-house fleet of experts to offer free Alexa consultations, professional in-home installations of smart home devices, and Wi-Fi networking systems. The fleet, which is part of Amazon Home Services, has been compared to that of Best Buy’s Geek Squad and is currently available to consumers in Seattle, Portland, San Francisco, San Diego, Los Angeles, Orange County, and San Jose.

Professional installation is not an entirely new concept in the smart home space. For example, Comcast requires its Xfinity solutions be professionally installed. It has expanded further into the space with its recent acquisition of iControl, new combination Wi-Fi router smart home hubs, and voice-activated remotes, which can control connected lighting.

Installations Are Key to the Integrated Smart Home

Professional installations and enhanced customer support are key to transitioning the smart home from an early adopter’s market to mainstream. They will also play a role in creating more dynamic, integrated homes that can play a role in a more digitized grid. Though there is no specific definition for a smart home, Navigant Research believes the more integrated connected devices become with the home, the more likely the home can be used for additional purposes like shedding load and stabilizing the grid.

Currently, the market is focused on standalone systems, point solutions, and further developing interoperability between devices to form greater connected ecosystems. However, players like Vivint, Best Buy, Amazon, and Comcast are progressing the reality of the smart home by offering more comprehensive, integrated solutions with professional installations and enhanced customer support.

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