Top 5 Tech Trends for 2022: Energy Management Potential Comes into Focus

Friday, February 04, 2022

Smart home industry research firm Parks Associates recently outlined the increasing consumer interest in energy in its “Home Energy Management: Driving Consumer Engagement and New Revenue” whitepaper. Parks Associates surveyed consumers about their energy management behaviors and in the past three years there has been a 10% increase in interest related to saving energy, particularly in the category of “extreme measures,” which includes home improvements like installing rooftop solar panels, enterprise-grade energy storage, uninterruptible power supplies/backup power and control systems.

Meanwhile, Parks Associates found 84% of consumers are interested in taking “mindful actions” (e.g., adjusting thermostats, switching light bulbs to LEDs and turning off lights when rooms aren’t in use), while 33% of end users want to make minor home improvements to reduce energy consumption (e.g., adding insulation or buying more energy-efficient appliances or HVAC systems, which may involve an integrator).

Parks adds that increased home energy usage, leading to “bill shock,” during the pandemic has become a motivating factor among 20% of surveyed homeowners’ interested in energy management. The group notes that as the U.S. comes out of the pandemic, adoption of smart home devices will ramp up even further.
“Utilities can leverage the increasing presence of connected devices to achieve and expand energy management capabilities and functionality in the home.”

Patrice Samuels, senior analyst, Parks Associates

While Parks’ research was specifically developed for Cox Communications as analysis for the potential demand for solutions like Cox’s home energy management platform and programs from utilities, the conclusions serve the same model integrators can follow, as dealers’ energy solutions can range from more budget-friendly applications all the way up to aforementioned enterprise systems.

“Utilities can leverage the increasing presence of connected devices to achieve and expand energy management capabilities and functionality in the home,” says Patrice Samuels, senior analyst at Parks Associates. “By incorporating smart thermostats, smart lighting, and smart plugs into energy management solutions, utilities can offer a comprehensive digital strategy to their customers that improves adoption of their energy management programs and generates additional revenue.”

The digitization of the home and ability to tie together alerts and automations, Parks notes, in general will increase consumer engagement in energy-saving actions, and that’s where integrators can take the lead. For integrators, more companies are enabling compatibility with automation systems and the ability to give consumers easy adjustments or preprogrammed settings for yielding true energy management as well as reducing reliance on the power grid.