The Global Smart Locks Market, By Product Type (Deadbolt and Lever/Knob), by Unlocking Mechanism( Keypad, Touch Screen, App Based and Hybrid/Integrated) , by Application(Government, Commercial, Industrial and Residential) and by Region (North America, Latin America, Europe, APAC and Middle East & Africa) - Global Forecast to 2027”, is expected to be valued at US$ 1,718.8 million by 2027, exhibiting a CAGR of 18.8 % during the forecast period (2019-2027), as highlighted in a report published by Coherent Market Insights.
Smart locks are electronic and mechanical locking devices that open wirelessly using a wireless protocol and a cryptographic key. It also monitors and sends alerts for different events it monitors and some other critical events related to the status of the device. Smart locks are an integral part of smart homes, which allow homeowners to enter their homes without requiring a traditional key. As a connected device, smart locks are considered as a part of the Internet of Things (IoT). Many smart locks utilize mobile apps or websites allow homeowners to grant access to third parties by sending a virtual key. Some smart locks come with a camera, which provides a picture of individuals accessing the door.
The global smart lockers market was valued for US$ 434.4Mn in 2019 is expected to exhibit a CAGR of 18.8% during the forecast period
Growing concerns over security and safety of homes are expected to drive growth of the global smart locks market during the forecast period
Domestic burglaries and break-ins have increased significantly in the recent past despite having robust locking system. According to the Office of National Statistics, U.K. report 2019, there were around 687 domestic burglaries and 633 household thefts per 1,000 population. According to the same source, there was around a 7% increase in the number of police-recorded offenses involving knives and sharp objects. Smart locks provide enhanced security as compared to conventional locking systems. It is extremely difficult to break into the house with smart locks since it sends alerts to house owners regarding any intrusion. Thus, growing concerns regarding safety and security are expected to support the global smart locks market growth over the forecast period.
Growing urbanization emerging economies can provide major growth opportunities over the forecast period
Although there is slow adoption of smart locks in emerging economies such as China and India, rapid urbanization can provide major growth opportunities for market players. Growing urbanization has accelerated the construction of urban infrastructures such as luxury hotels, apartments, and workspaces. Key players in the market can lay emphasis on offering innovative products at affordable prices, in order to expand the consumer base and gain a competitive advantage in the market.
High cost of installation and perception of unreliability are expected to hamper the global smart locks market growth during the forecast period
Generally, smart locks are an integral part of smart home projects and hence are installed in lavish or luxury apartments since they are significantly expensive as compared to conventional locking systems. Moreover, there is a sense of belief among many consumers that smart locks are unreliable, which in turn, hinders their adoption. Although consumers from developed countries have started adopting smart locks, customers from emerging economies are yet to accept this novel technology. Hence, these factors are expected to hamper the global smart locks market growth over the forecast period.
Growing demand for smart home technology
North America's smart locks market is expected to witness lucrative growth over the forecast period, owing to increasing demand for smart home technologies in the region. Home security is one of the major elements among other home automation features. Ease of usage and the ability to control the locks from a distance are some of the factors fueling the popularity of Smart Locks in North America.
The emergence of new smart technologies
The entry of new players and presence of established players have increased the competition in the global smart locks market. This, in turn, has resulted in more investment and research and development activities. This also means good quality products at affordable rates. Companies such as Kwikset and August Homes are coming up with various new technologies. For instance, Havenlock Inc., a Tennessee-based startup has come up with a door-mounted smart lock. This lock is said to be 10x stronger than a regular deadbolt.
Rising use of smartphones and increasing internet penetration
Growing use of smartphones and mobile devices coupled with deeper internet penetration, especially in emerging economies such as India and China have increased the popularity of smart locks in the region. Moreover, the availability of affordable smart home technologies along with higher purchasing power, especially in metropolitan cities are expected to boost the regional market growth in the near future.
Growing concerns regarding home security
Rapidly escalating crime rates in emerging economies is a major factor driving growth of the Asia Pacific smart locks market. Furthermore, smart lock technology is regarded as a desirable solution to keep homes safe while they are not occupied, either during the day when the inhabitants are at work, or for extended periods when they are vacationing.
Key players operating in the global smart locks market are Apigy Inc. (Lockitron), Schlage, Kwikset, Honeywell International Inc., Havenlock Inc., Panasonic Corporation, Samsung SDS Co., Ltd, Vivint, Inc., August Home Inc., and Assa Abloy Group.