Smart Speakers Market By Virtual Assistant Type (Alexa, Google Assistant, Siri, Cortana, Others), By Application (Residential, Offices), By Sales Channel (Online, Offline), By Component (Hardware, Software) - Growth, Share, Opportunities & Competitive Analysis, 2018 – 2026

The smart speakers market was valued at US$ 4.30 Bn in 2017 and expected to grow at a CAGR of 26.4% during the forecast period from 2017 to 2026. A smart speaker may be defined as a wireless audio playback device that uses several types of connectivity for additional functions. Technically, a speaker capable of anything beyond just emitting sound can be labelled as ‘smart’. What makes smart speakers different from normal speakers is the fact that it comes with special features that facilitates connectivity to multiple types of audio sources, ease of use and provide additional functionality. These additional functionality includes; scheduling calendar invites, quickly look up information, controlling smart homes, play music, online shopping and facilitating calls. 

All the aforementioned tasks can just be performed by the person operating the smart speaker. Rising smart home industry across the world is an important factor contributing to the increased adoption of smart speakers. Moreover, considering the fact that an increasing number of consumers are shifting towards connected devices, the smart speakers market expected to witness significant growth over the forecast period. Rising net disposable income of people specially in countries such as India, China and Brazil among others is another important factor aiding the smart speakers market growth. The advent of e-commerce has further influenced the market growth positively. Ease of purchase and wide availability of options are some of the major factors supporting the aforementioned sentence.

"Adoption of Smart Speakers Expected to be high across Offices in Coming Years"

The residential segment stood as the largest segment in the overall smart speakers market worldwide and contributed to a lion’s share of the overall market value in 2017. Rising discretionary income coupled with changing lifestyle are expected to drive the adoption of smart speakers in residential sector in the coming years. Moreover, rising popularity of connected devices and smart homes worldwide is another factor aiding the smart speakers market growth during the forecast period. However, the adoption of smart speakers across offices expected to be on the rise in the years to come. For instance, recently Amazon in its annual Re:Invent conference held in Las Vegas, announced it plans to make its virtual assistant an essential office accessory which will be able to book conference rooms, launch meetings and order stationery.

"R&D Activities to Remain on the Center Stage for the Players Operating in the Smart Speaker Market"

Research and development activities is one of the most prominent strategies adopted by the players operating in the smart speakers market. These activities are directed towards improving the existing products as well as developing new ones. With new companies entering into the market, this strategy expected to remain on the center stage in the coming years. For instance, recently, Google announced its plans to launch a smart speaker with a display to take on Amazon Echo. The product expected to be unveiled at the Pixel launch event, which is likely to be in the first week of October 2018. Similarly, Motorola has plans to launch a smart speaker that will compete directly with the likes of Amazon Echo and Google Home.

"North America to Remain an Important Market throughout the Forecast Period"

North America was the largest regional market for smart speakers worldwide in 2017. The value share of North America in the global smart speakers market stood at more than 60% in the year 2017. The region expected to maintain its dominance throughout the forecast period. The presence of a strong home automation industry in the region is one of the most prominent factors driving the smart speakers market. Moreover, higher inclination towards sophisticated lifestyle among people in the region is another factor complimenting the smart speakers market growth. Furthermore, the fact that three of the leading virtual assistant providers namely, Cortana (Microsoft), Alexa (Amazon) and Siri (Apple) headquartered in the region further contributes to the growth of the market in the region. The adoption of smart speakers among people in the U.S. has grown significantly in recent years. The magnitude of this growth can be understood from the fact that 16% of the U.S. population now owns a smart speaker.

Historical & Forecast Period

This research report presents the analysis of each segment from 2016 to 2026 considering 2017 as the base year for the research. Compounded Annual Growth Rate (CAGR) for each respective segments are calculated for the forecast period from 2018 to 2026.

Report Scope by Segments

The report elucidates the detailed outline of global Smart Speakers market by categorizing the market in terms of virtual assistant type, component, application, sales channel and geography.