Today we focus in on the market for smart appliances. While the penetration of smart features in home appliances is surging past 50%, this growth is highly uneven across different device types, creating a complex but opportunity-rich landscape within a stabilizing market

The smart appliance market has rapidly moved from a niche category to the mainstream, with over half of all appliances sold in 2025 now featuring smart capabilities. However, this growth isn't uniform across all device types, revealing a diverse landscape of consumer adoption that creates distinct opportunities for component suppliers.

What Makes an Appliance "Smart"?

A smart appliance is a home device that uses connectivity, such as Wi-Fi or Bluetooth, to exchange data and interact with other devices, networks, and the user. They incorporate sensors and intelligent software that allow for advanced functions like remote control via a smartphone, automated maintenance alerts, and operational adjustments based on user habits. This intelligence transforms a traditional appliance into an interactive part of the connected home ecosystem, offering enhanced convenience, efficiency, and control.

The Surge in Smart Adoption Amid a Stable Market

The market for smart appliances has seen remarkable growth in penetration. In 2018, fewer than 20% of home appliances shipped were "smart," but that figure has climbed to over 50% in 2025. This trend is set to continue, with DATAportl expecting that smart appliances will account for nearly 70% of the total market by 2030.

It is important to note this rapid feature adoption is occurring within an overall home appliance market that is viewed as stabilizing, with a "flat or modestly positive" outlook. This highlights that growth is coming from adding value and intelligence, not just from raw volume.

A Market of Contrasting Speeds

While the overall trend is positive, the adoption of smart features varies significantly by appliance type. Categories that offer high user interaction and clear convenience benefits, such as Tumble Dryers and Dishwashers, are leading the charge. In contrast, adoption has been much slower in more functional, "set-and-forget" categories like Freezers and Cooker Hoods. This uneven adoption reflects broader challenges in the smart home category, which continues to face hurdles like fragmented standards and the need for stronger product innovation to prove value to consumers.

Strategic Takeaway

For suppliers to this industry, the key insight is that the smart appliance market is not monolithic. The variance in adoption rates demands a segmented approach; a one-size-fits-all component strategy is unlikely to succeed.

Success will depend on tailoring solutions to the specific needs of each appliance category, from cost-effective connectivity for slower-moving segments to advanced processing and sensing for high-growth areas where consumers expect a richer experience. Overcoming ecosystem challenges, such as fragmented standards, with more interoperable solutions will be crucial for unlocking the next level of market growth.

If you’re a client, you can view a comprehensive coverage of the market below:

Last week, we released two major data additions on the DATAportl platform:

These are now available alongside unit shipments, regions and brands for 100s of electronic devices.

If you’re interested in transforming your workflow with DATAportl’s easy-to-use platform, you can book a free demo below:

Understanding this divergence between high-growth and slow-moving categories is crucial for capturing the next wave of value in the connected home. Speak soon!