By The Numbers: Which Room Gets The Smart Home Devices

One of the major market trends we observed at CES 2015 last month was that the connected home is quickly becoming a reality. Smart home device shipment in the U.S. market is projected to grow nearly 74% from 20.7 million units to 35.9 million in the next 3 years, while the smart home controllers doubling its shipment.

US Smart home devices 2014-17

As rising product availability and mobile compatibility are readying home automation and monitoring to happen in every room of the house, which room will receive the priority of getting connected?

smart home by rooms U.S. female houseowners

According to a recent Better Homes and Gardens survey of U.S. female homeowners, it’s the shared family spaces like the kitchen and living room that takes the priority. In contrast, private spaces such as the bedroom or bathroom are less likely to be equipped with smart home devices.

Privacy concerns of connected devices

And it’s not hard to see the key reason behind such disparity—privacy concerns of connected devices are the number one reason that’s keeping smart devices from entering every room. Over 80% of U.S consumers worry about data security, according to a recent poll conducted by TRUSTe, as a majority believe they should own the data collected by smart devices. Overall, this means that brands in the connected home market need to do a better job at explaining the way personal data is collected and securely used to provide more benefits for the homeowners.

**All charts are taken from eMarketer.

Brands: Don’t Ignore Data Security Concerns

In our recent POV on the “data dilemma” that most brands face regarding data collection, one crucial point we highlighted was security. If a brand can’t ensure data security, consumers will be reluctant to do business with the company.

As recent news reports indicate, however, brands aren’t clueless about the need for data security so much as willfully ignoring it until it’s too late. News of the massive credit card breach at Home Depot earlier this month marked the biggest consumer data breach in recent history, yet the retailer was reportedly aware of the security problem as far back as 2008 and did nothing about it. Similarly, Apple is now also accused of willfully ignoring the iCloud security issues long before the celebrity photo breach happened.

As both companies scramble to deal with the aftermath of losing consumer trust, this should serve as a lesson to all brands: collected consumer data must be managed with proper encryption and other up-to-date security measures. Otherwise, ignore early concerns about data security at your own risks.

For more actionable insights on how to keep data secure and consumer trust in tact, download our newest POV here.

By The Numbers: Digital Privacy Concerns

As more companies collect personal data, the potential for leaks and scandals has dramatically increased, along with consumers’ concerns about misuse: according to a research conducted by Temkin Group, nearly 75% of the respondents were worried about their personal information, a figure that has steadily risen over the past 3 years.

privacy concern breakdown

Different digital platforms, however, encourage varying degrees of trust, as a study by Harris Interactive reveals. A majority (66%) of the survey participants expressed concern for privacy on social media sites—the least trusted channel overall, followed by email and web browsing.

privacy concern by platform

Distrust of social media sites in particular varies between generations. Younger users (those below 35) are more trusting, with only 12% saying they don’t trust such sites. Generally, skepticism increases with age, with one-third of Internet users aged 55 to 64 reporting distrust.

no-trust-social-media-by-age

Clearly, digital privacy will continue to be a hot-button issue, so successful brands must carefully respond to consumers’ concerns and take appropriate steps to protect their data.