Steadily overcoming the privacy issues and consumer apathy with waves of Incentives, Regulations, and Smart Marketing, the Smart Grid continues to fuel the Smart Thermostat industry. It makes too much sense for those manufacturers with the know how and resources to wax “green and greedy” and get their piece of this enormous and growing pie. This Navigant Research Leaderboard report reviews the contenders and challengers, with a fresh 30,000 feet view down to the name and numbers level.
Navigant Research’s Assessment of Strategy and Execution for 11 Smart Thermostat Manufacturers. The market for smart thermostats is mainly centered in North America and Western Europe, where deployments of smart grid technologies have helped drive awareness of energy usage and how consumers can leverage new tools, such as advanced thermostats, to help lower costs and consumption. In other regions, smart thermostats have yet to gain much traction. However, as smart grid deployments expand in these other geographies, smart thermostats will gain some ground.
Navigant Research expects steady growth for smart thermostats through 2020, driven by rising energy costs, increased environmental awareness, regulatory pressure to encourage energy efficiency, and more effective marketing programs. In spite of these drivers, certain barriers will keep the market from rapid growth. These include the higher cost of smart thermostats (compared to conventional thermostats), inconclusive data on actual savings, cautious utilities uncertain about how to support deployments, and ineffective marketing campaigns. Still, Navigant Research forecasts that smart thermostats will compose a growing percentage of total thermostats sold globally going forward, reaching 13% of the total by 2020.
This Navigant Research Leaderboard Report examines the strategy and execution of 11 smart thermostat manufacturers that are active in the global smart thermostat market and rates them on 12 criteria. Using Navigant Research’s proprietary Leaderboard methodology, vendors are profiled, rated, and ranked with the goal of providing industry participants with an objective assessment of these companies’ relative strengths and weaknesses in the global smart thermostat market. Honeywell emerged as the sole Leader in this report due to its ability to react to challenger Nest and use its dominant brand to its advantage. Five others, led by Nest, are ranked as Contenders, and five vendors are Challengers.
Top 10 Vendors:
9. Radio Thermostat Company of America