Commentary

GenXers Outspend Millennials On Smart Home Devices

Much has been written about various behaviors and patterns of millennials.

One of their characteristics, however, is not necessarily that they are buying big into the Internet of Things.

A new study suggests that the generation before them is out-buying them pretty much across the board.

The top selling items for both generations are Amazon Echo speakers and smart light bulbs, according to the study.

The study by BI Intelligence comprised a survey of 650 consumers in two groups:  millennials, those 19 to 35 years old, and GenerationX, those about 36 to 51 years old.

More GenXers than millennials owned each device queried.

For example, the older consumers owned more digital voice assistants, connected thermostats and smart appliances. Here’s what is owned by those in GenerationX:

  • 30% -- Amazon Echo
  • 17% -- Smart light bulb
  • 17% -- Connected thermostat
  • 13% -- Connected security system
  • 12% -- Smart appliance
  • 5% -- Google Home

advertisement

advertisement

By contrast, ownership by millennials was lower for each. Here’s what millennials own:

  • 21% -- Amazon Echo
  • 13% -- Smart light bulb
  • 10% -- Connected thermostat
  • 8% -- Smart appliance
  • 6% -- Connected security system
  • 3% -- Google Home

One of the reasons Echo speakers and smart light bulbs are the most popular of the devices may have to do with price, since both are relatively inexpensive, according to BI Intelligence.

For example, the Amazon Echo Dot, the smaller Echo device, is $49.99 and a smart light bulb can be purchased for $19.99.

As prices come down over time, it remains to be seen if that creates enough of a draw for those with less disposable income.

The other obvious issue is that smart devices need to provide a tangible value, such as a smart thermostat to save on heating and cooling bills. Despite the sophistication of the technology and the associated marketing, it still may come down to the traditional cost-benefit ratio.

___________________________________________________________________________

Smart devices will be discussed at the MediaPost IoT Marketing Forum May 18 in New York. Here’s the agenda

Next story loading loading..