IoT in Consumer Electronics Market - Size, Share, Industry Trends, and Forecasts (2024 - 2031)

By Product Type:

Based on the product type, the market is segmented into smartphones, printers, wearable devices, smart TV, kitchen appliances, and others.

Trends in the Product Type:

• The IoT integration into wearable devices fosters personalized insights into health and daily life, enabling chronic disease management, remote diagnostics, and personalized health feedback is driving the IoT in consumer electronics market trends.
• Smart TVs are increasingly integrating AI and machine learning for enhanced user experience by providing automatic user assistance and enhance overall user experience is driving the IoT in consumer electronics market trends.

The smartphones accounted for the largest revenue share of 33.12% in the year 2024 and are anticipated to register the fastest CAGR during the forecast period.

• Smartphones provide a user-friendly interface to control and interact with various connected devices, as well as serve as a central point for managing smart home devices, wearables, and other connected electronics through mobile apps, giving users better insights into their environment and habits.
• Additionally, the key advantages that boost the IoT in consumer electronics market share include increased convenience and comfort, cost savings, enhanced safety and health, among others.
• Further, the growing demand for convenience, automation, and enhanced lifestyles is boosting the adoption of smartphones, which in turn is fueling the IoT in consumer electronics market share.
• Furthermore, the availability of high-speed internet, due to the rise of 4G and 5G networks, is paving the way for growing IoT in consumer electronics market size.
• For instance, in 2023, according to the International Telecommunication Union (ITU), 97.3% of the population in North America are using the internet facility, followed by Europe and Central Asia with 90.1% across the globe.
• Thus, as per the IoT in consumer electronics marketanalysis, the widespread availability of high-speed internet, as well as growing demand for convenience, automation, and enhanced lifestyles, is driving the market progress.

By Technology:

Based on the technology, the market is segmented into near field communication (NFC), LoRaWAN, RFID, artificial intelligence (AI), and Others.

Trends in the Technology:

• The trend towards the rise of personalized retail experiences and efficient supply chains for consumer electronics is driving the integration of IoT devices with RFID technology.
• The trend towards the integration of LoRaWAN's long-range, low-power capabilities with the high-speed, high-capacity 5G network, aids in enhancing IoT deployments.

Near Field Communication (NFC) Technology accounted for the largest revenue share in the year 2024.

• Near Field Communication is a short-range wireless technology that connects Internet of Things (IoT) devices in consumer electronics to facilitate easy, secure data exchange through simple taps or proximity.
• Additionally, the key advantages driving the adoption of NFC technology include ease of use, enhanced security, operational efficiency, reduced power consumption and others.
• Further, the growing demand for smart homes, smart cities, and connected health devices is driving the integration of NFC with IoT connected devices which in turn is fueling the IoT in consumer electronics market size.
• For instance, In March 2023, Infineon Technologies AG launched NGC1081, which is an NFC-based sensing controller that enables the IoT industry to develop low-cost, miniaturized devices and can be controlled and powered by mobile phones.
• Thus, as per the IoT in consumer electronics market analysis, the growing demand for smart homes, smart cities, and connected health devices is driving the market progress.

Artificial Intelligence (AI) is anticipated to register the fastest CAGR during the forecast period.

• AI algorithms enable IoT devices to learn user preferences and automate tasks without human intervention, such as adjusting home lighting and temperature among others based on patterns of use.
• Also, AI have the ability to offer predictive insights and recommendations, which helps to provide customized experiences in devices such as smartwatches and home entertainment systems.
• Further, the reduced cost of components such as sensors and microcontrollers is paving the way for IoT hardware to be accessible is driving the way for AI integration with IoT connected devices.
• For instance, In August 2024, Wiliot launched WiliBot which is a Gen AI chatbot which enables natural-language conversations with IoT-connected products.
• Therefore, as per the market analysis, the aforementioned factors are anticipated to boost the market during the forecast period.

By Connectivity:

Based on the connectivity, the market is bifurcated into wired and wireless.

Trends in the Connectivity:

• The trend towards increasing dominance of smartphones as central control hubs is driving the adoption of wireless connectivity.
• The wired connections offer a stable and less-interfering connection, making them a reliable choice for smart home infrastructure which is driving the market progress.

Wireless connectivity accounted for the largest revenue share in the year 2024 and is anticipated to register the fastest CAGR during the forecast period.

• The rise of wireless connectivity technology, such as Wi-Fi, Bluetooth, cellular, and other technologies, is providing easy, short-range wireless access to connect smart devices such as TVs, refrigerators, and security cameras, among others.
• Also, the key advantages include increased convenience, home automation, enhanced security, and better health monitoring, among others are boosting the adoption of wireless connectivity in the market.
• Further, Wireless connectivity is crucial, as it allows IoT devices to send and receive data for remote monitoring, control, and automation.
• Furthermore, the advancements in wireless technologies, as well as rising disposable incomes, are fueling the market development.
• Thus, as per the marketanalysis, the advancements in wireless technologies are driving the market progress.

By Sales Channel:

Based on the sales channel, the market is bifurcated into offline and online.

Trends in the Sales channel:

• The development of e-commerce, particularly DTC models, which bypass intermediaries, as well as offers a more personalized experience is driving the adoption of online sales channels.
• The increasing disposable incomes in developing economies is boosting the adoption of online sales channels.

Offline sales channel accounted for the largest revenue share in the year 2024.

• The offline sales channels provide a dominant revenue share due to the tangible product experience and personalized services offered at the offline stores.
• Also, the strategies adopted by offline stores to attract customers include in-store demonstrations, brand presence, and immediate assistance for complex IoT devices.
• Additionally, In-store associates can provide personalized advice and assistance with product specifications and usage which is a significant advantage driving the adoption of offline sales channel.
• Further, the retail stores can establish a stronger brand presence and build customer trust, leading to greater loyalty is boosting the market development.
• Thus, as per the market analysis, the aforementioned key factors are driving the adoption of offline sales channel is boosting the market progress.

Online sales channel is anticipated to register the fastest CAGR during the forecast period.

• The online sales channel aids manufacturers and retailers to leverage data analytics for dynamic pricing, personalized marketing, and improved customer engagement.
• Further, the online platforms such as e-commerce sites and company websites allow for broader distribution and access to a global customer base is driving the market progress.
• Furthermore, the rising integration of AI and virtual reality (VR) in online channels to provide personalized product recommendations and interactive shopping experiences is fueling the market evolution.
• Therefore, as per the market analysis the rising integration of AI and virtual reality as well as broader distribution and access to a global customer base are anticipated to boost the market during the forecast period.

By Application:

Based on the application, the market is bifurcated into personal and professional.

Trends in the Application:

• The IoT systems help companies automate tasks, monitor operations, and manage processes, leading to increased productivity and reduced operating costs, which drives the adoption by professionals.
• The growing number of interconnected devices creates liabilities, driving a significant need for advanced IoT security solutions at home for personal safety and security.

The personal utilization accounted for the largest revenue share in the year 2024.

• The rising adoption of internet-connected devices like smart home devices, wearables, and other smart gadgets for personal use at home is boosting the market growth.
• Also, the aim is to enhance lifestyle, convenience, health, and entertainment are driving the adoption for personal use.
• Additionally, the devices include health and fitness trackers, smart home automation devices, small IoT trackers, and others are used to offer personalized real-time alertsand insights to promote a healthier lifestyle.
• Further, consumers are increasingly seeking to simplify daily tasks and improve their quality of life through connected, automated devices is driving the market adoption.
• Furthermore, the innovations in sensor technology, cloud computing, and reliable wireless connectivity are driving the adoption of IoT connected devices due to improved device performance and user experience.
• Thus, the continuous innovation and rising need to simplify daily tasks and improve their quality of life are driving the market adoption.

The professional utilization is anticipated to register the fastest CAGR during the forecast period.

• Professionals utilize IoT devices for real-time data and analytical insights, which aid in remote management, predictive maintenance, enhanced security, as well as improved quality control in professional spaces.
• Also, businesses use these devices to manage energy management, as well as automate tasks, in turn leading to significant operational improvements.
• Further, the vast amounts of data collected by IoT devices provide valuable insights into user behavior, operational patterns, and others, which in turn help to make informed decision-making as well as develop new business strategies.
• Furthermore, analyzing data and providing personalized services can create new business models and generate additional revenue for companies.
• Therefore, the aforementioned factors are anticipated to boost the market during the forecast period.