Dubai: The ‘smart home’ concept has been around for a while, but in practice remains fragmented and needs to be consolidated, says a top retailer.
“Smart homes service providers are beginning to gain traction and more players will be entering the market,” said Nilesh Khalkho, CEO of Sharaf DG. The concept revolves around eco-friendly solutions, which not only include minimal usage of energy and monitoring of appliances for optimum use but also provide security, comfort and convenience.
The main challenges are that it is expensive and that the ‘internet of Things’ (IOT) — a system in which everyday objects have network connectivity and can send and receive data — does not have a standard. “Different companies have their own ecosystem and apps,” said Khalkho. “Finally, the need will be for one single app, instead of many, to control different devices.”
According to MarketsandMarkets consultancy, the global smart homes market was valued at $20.38 billion (Dh74 billion) in 2014 and expected to reach $58.68 billion by 2020. It is projected to grow at a compounded annual growth rate (CAGR) of 17 per cent between 2015 and 2020.
Samsung and LG have already launched smart fridges, vacuum cleaners and washing machines that can be linked to the smartphone to control the devices globally. A simple app can change the home ambience to fit users’ mood; doors can be opened to let the guest in while you are still on the way; and sends users a message when kids are safe at home.
Etisalat has already ventured into the smart home concept while du is expected to launch soon. Many in the UAE are already offering solutions for home automation.
Sharaf DG is displaying solutions such as smart lock products (face recognition, PIN and card access), hydroponic systems for indoor plants, efficient composting systems with waste foods, etc. The retailer has more than 150 products for a healthier lifestyle. “We have tied up with 15 brands currently and will sign deals with more international brands in the near future,” he said.
To start with, he said that Sharaf DG will focus on consumers to “retrofit their homes” with existing products. “We do not want consumers to buy new stuff. Once the consumers get used to the concept, then they will invest more. In the next 12 to 24 months, consumers will have some devices interconnected with the smartphone in the UAE.
“We will start selling aggressively as IOT is expected to happen in the UAE by end of this year. We will have a dedicated area in our Times Square outlet and will be a permanent feature at our stores. Basically, we are preparing for internet of Things.”
The core — which is the smartphone — is already with the user, he said, and only the apps and devices have to be fitted. The smart home concept will have the same future as smartphones, according to Khalkho.
“We were already happy with the voice and text messaging with our basic phones. The smartphone has grown drastically in the last three to four years and it has become the first screen of choice for everyone today. I expect the same will happen to the smart home concept.”
