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Customers 28 | 29TH SEPTEMBER - 5TH OCTOBER 2017 | UTILITY WEEK Analysis A s revenue streams from traditional energy retail business models are squeezed, suppliers are morphing and homing in on a perceived goldmine of new value in the market for connected home technologies and services. They are not the only ones. Across sec- tors, those with a thirst for "the new oil" – data – are angling for a place in consum- ers' connected lives. And increasingly, tech giants are looking to force (or enable) the convergence of connected tech in integrated platforms, rather than function-specific devices. As these advances plough ahead, con- sumers are also being pushed by government to smarten up their energy usage by adopt- ing the smart meters being deployed by sup- pliers. They have been promised these will save them money and time in the long run. But are consumers really ready to embrace smart and connected living? In partnership with Harris Interactive, Util- ity Week asked more than 1,000 UK adults about their interest in smart home and smart energy technologies. Here's a snapshot of what we found: A strong body of consumers said they are "very interested" in smart and connected home technologies and over a quarter of con- sumers allowed that smart home innovations are "somewhat interesting". This puts overall consumer interest in smart home technology in strong positive territory, with respondents aged between 18 and 34 showing the highest propensity for interest. However, over 30 per cent of consumers said they are not inter- ested in connected home offerings, leaving a significant market segment beyond the reach of aspirant providers of connected living. When asked specifically about their interest in smart energy technologies, the proportion of respondents expressing firm interest rose slightly. Interestingly however, when the age demographics were inspected it was seen that a slightly low proportion of younger respondents expressed interest in energy-specific smart tech, while a strong interest among older age groups dragged the average up. Despite the generally positive interest expressed in smart home and smart energy technologies, the overwhelming majority of respondents said they do not yet own any smart tech for their home. The most domi- nant form of smart home technology in use was smart meters, which almost one-third of respondents said they have installed. This is unsurprising, given the mandated rollout of smart meters in GB. It is notable that Amazon Echo (with Alexa) led both the Hive and Nest Thermo- stats in consumer adoption, despite the technology being launched in the UK only in late 2016. It is possible this quick gain on more established technologies reflects both an appetite for technologies which integrate multiple smart home functions and/or the power of a globally dominant brand with strong consumer appeal. When asked what motivated them to adopt each technology, consumers with smart meters were most commonly moti- vated by long-term financial savings, as were Nest Thermostat owners. Meanwhile, the Making the connections Many different sectors want to own the 'connected home', but how interested are consumers in all things smart? Utility Week and Harris Interactive went out and asked them. HOW INTERESTED ARE YOU SPECIFICALLY IN SMART ENERGY TECHNOLOGIES? DO YOU OWN ANY OF THE FOLLOWING SMART TECHNOLOGIES? HOW INTERESTED ARE YOU IN SMART/CONNECTED HOME TECHNOLOGIES? 70% 60% 50% 40% 30% 20% 10% 0% 0% 5% 10% 15% 20% 25% 30% 35% 27% 33% 12% 34% 28% 15% 11% 17% 13% Not at all interested Not very interested Somewhat interested Very interested Extremely interested Not at all interested Not very interested Somewhat interested Very interested Extremely interested 0% 5% 10% 15% 20% 25% 30% 35% Amazon Echo/Echo Dot (with Alexa) Nest Thermostat Hive Thermostat Smart meter None of these Other 62% 29% 6% 4% 9% 1% 10%