IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v144y2020ics0301421520303669.html
   My bibliography  Save this article

Critically reviewing smart home technology applications and business models in Europe

Author

Listed:
  • Furszyfer Del Rio, Dylan D.
  • Sovacool, Benjamin K.
  • Bergman, Noam
  • Makuch, Karen E.

Abstract

Smart home technologies refer to devices that provide some degree of digitally connected or enhanced services to occupants. Smart homes have become central in recent technology and policy discussions about energy efficiency, climate change, and innovation. However, many studies are speculative, lacking empirical data, and focus on costs and benefits, but not business models and emerging markets. To address these gaps, our study presents data from semi-structured expert interviews and a review of the recent literature. Although we draw from empirical data collected in the United Kingdom, we place our findings in the context of Europe because the UK has access to European markets for smart home technologies and platforms. Our sampling strategy included experts from Amazon, Microsoft, the International Energy Agency, government, academic, and civil society stakeholders. We identify a diversity of definitions associated with smart home technologies and draw from our data to discuss applications centred on digital connections, enhanced control, automation, and learning. We analyse fifteen distinct business models for smart home technologies, ranging from energy services and household data monitoring to assisted living, security and safety, and new advertising channels (among others). Our assessment ought to guide future innovation patterns, technology deployment, and policy activity relating to smart homes, especially insofar as they can deliver energy services more affordably or help meeting carbon mitigation priorities.

Suggested Citation

  • Furszyfer Del Rio, Dylan D. & Sovacool, Benjamin K. & Bergman, Noam & Makuch, Karen E., 2020. "Critically reviewing smart home technology applications and business models in Europe," Energy Policy, Elsevier, vol. 144(C).
  • Handle: RePEc:eee:enepol:v:144:y:2020:i:c:s0301421520303669
    DOI: 10.1016/j.enpol.2020.111631
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421520303669
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.enpol.2020.111631?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Oecd, 2016. "The Internet of Things: Seizing the Benefits and Addressing the Challenges," OECD Digital Economy Papers 252, OECD Publishing.
    2. Carissa Véliz & Philipp Grunewald, 2018. "Protecting data privacy is key to a smart energy future," Nature Energy, Nature, vol. 3(9), pages 702-704, September.
    3. Balta-Ozkan, Nazmiye & Davidson, Rosemary & Bicket, Martha & Whitmarsh, Lorraine, 2013. "Social barriers to the adoption of smart homes," Energy Policy, Elsevier, vol. 63(C), pages 363-374.
    4. Yael Parag & Benjamin K. Sovacool, 2016. "Electricity market design for the prosumer era," Nature Energy, Nature, vol. 1(4), pages 1-6, April.
    5. Marikyan, Davit & Papagiannidis, Savvas & Alamanos, Eleftherios, 2019. "A systematic review of the smart home literature: A user perspective," Technological Forecasting and Social Change, Elsevier, vol. 138(C), pages 139-154.
    6. Hargreaves, Tom & Nye, Michael & Burgess, Jacquelin, 2013. "Keeping energy visible? Exploring how householders interact with feedback from smart energy monitors in the longer term," Energy Policy, Elsevier, vol. 52(C), pages 126-134.
    7. Earl, James & Fell, Michael J., 2019. "Electric vehicle manufacturers' perceptions of the market potential for demand-side flexibility using electric vehicles in the United Kingdom," Energy Policy, Elsevier, vol. 129(C), pages 646-652.
    8. B. Demil & X. Lecocq, 2010. "Business model evolution : in search of dynamic consistency," Post-Print hal-00572915, HAL.
    9. Dapeng, Liang & Weiwei, Wu, 2009. "Barriers and incentives of CCS deployment in China: Results from semi-structured interviews," Energy Policy, Elsevier, vol. 37(6), pages 2421-2432, June.
    10. Schiavone, Francesco & Paolone, Francesco & Mancini, Daniela, 2019. "Business model innovation for urban smartization," Technological Forecasting and Social Change, Elsevier, vol. 142(C), pages 210-219.
    11. Nolden, Colin & Sorrell, Steve & Polzin, Friedemann, 2016. "Catalysing the energy service market: The role of intermediaries," Energy Policy, Elsevier, vol. 98(C), pages 420-430.
    12. Ueno, Tsuyoshi & Inada, Ryo & Saeki, Osamu & Tsuji, Kiichiro, 2006. "Effectiveness of an energy-consumption information system for residential buildings," Applied Energy, Elsevier, vol. 83(8), pages 868-883, August.
    13. Goldblatt, David L. & Hartmann, Christoph & Durrenberger, Gregor, 2005. "Combining interviewing and modeling for end-user energy conservation," Energy Policy, Elsevier, vol. 33(2), pages 257-271, January.
    14. Sovacool, Benjamin K. & Kivimaa, Paula & Hielscher, Sabine & Jenkins, Kirsten, 2017. "Vulnerability and resistance in the United Kingdom's smart meter transition," Energy Policy, Elsevier, vol. 109(C), pages 767-781.
    15. Sovacool, Benjamin K. & Furszyfer Del Rio, Dylan D., 2020. "Smart home technologies in Europe: A critical review of concepts, benefits, risks and policies," Renewable and Sustainable Energy Reviews, Elsevier, vol. 120(C).
    16. Winifred R. Poster, 2018. "Cybersecurity needs women," Nature, Nature, vol. 555(7698), pages 577-580, March.
    17. Anders S. G. Andrae & Tomas Edler, 2015. "On Global Electricity Usage of Communication Technology: Trends to 2030," Challenges, MDPI, vol. 6(1), pages 1-41, April.
    18. Oecd, 2018. "Consumer policy and the smart home," OECD Digital Economy Papers 268, OECD Publishing.
    19. San Román, Tomás Gómez & Momber, Ilan & Abbad, Michel Rivier & Sánchez Miralles, Álvaro, 2011. "Regulatory framework and business models for charging plug-in electric vehicles: Infrastructure, agents, and commercial relationships," Energy Policy, Elsevier, vol. 39(10), pages 6360-6375, October.
    20. Larissa Nicholls & Yolande Strengers & Jathan Sadowski, 2020. "Social impacts and control in the smart home," Nature Energy, Nature, vol. 5(3), pages 180-182, March.
    21. Charlie Wilson & Arnulf Grubler & Kelly S. Gallagher & Gregory F. Nemet, 2012. "Marginalization of end-use technologies in energy innovation for climate protection," Nature Climate Change, Nature, vol. 2(11), pages 780-788, November.
    22. Parrish, Bryony & Heptonstall, Phil & Gross, Rob & Sovacool, Benjamin K., 2020. "A systematic review of motivations, enablers and barriers for consumer engagement with residential demand response," Energy Policy, Elsevier, vol. 138(C).
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Lanre Olatomiwa & James Garba Ambafi & Umar Suleiman Dauda & Omowunmi Mary Longe & Kufre Esenowo Jack & Idowu Adetona Ayoade & Isah Ndakara Abubakar & Alabi Kamilu Sanusi, 2023. "A Review of Internet of Things-Based Visualisation Platforms for Tracking Household Carbon Footprints," Sustainability, MDPI, vol. 15(20), pages 1-32, October.
    2. Ohlan, Ramphul & Ohlan, Anshu, 2022. "A comprehensive bibliometric analysis and visualization of smart home research," Technological Forecasting and Social Change, Elsevier, vol. 184(C).
    3. Daniel J. Mallinson & Saahir Shafi, 2022. "Smart home technology: Challenges and opportunities for collaborative governance and policy research," Review of Policy Research, Policy Studies Organization, vol. 39(3), pages 330-352, May.
    4. Dongsu Kim & Yeobeom Yoon & Jongman Lee & Pedro J. Mago & Kwangho Lee & Heejin Cho, 2022. "Design and Implementation of Smart Buildings: A Review of Current Research Trend," Energies, MDPI, vol. 15(12), pages 1-17, June.
    5. Große-Kreul, Felix, 2022. "What will drive household adoption of smart energy? Insights from a consumer acceptance study in Germany," Utilities Policy, Elsevier, vol. 75(C).
    6. Ghasan Fahim Huseien & Kwok Wei Shah, 2021. "Potential Applications of 5G Network Technology for Climate Change Control: A Scoping Review of Singapore," Sustainability, MDPI, vol. 13(17), pages 1-26, August.
    7. Sovacool, Benjamin K. & Martiskainen, Mari & Furszyfer Del Rio, Dylan D., 2021. "Knowledge, energy sustainability, and vulnerability in the demographics of smart home technology diffusion," Energy Policy, Elsevier, vol. 153(C).
    8. Furszyfer Del Rio, Dylan D. & Sovacool, Benjamin K. & Griffiths, Steve & Bazilian, Morgan & Kim, Jinsoo & Foley, Aoife M. & Rooney, David, 2022. "Decarbonizing the pulp and paper industry: A critical and systematic review of sociotechnical developments and policy options," Renewable and Sustainable Energy Reviews, Elsevier, vol. 167(C).
    9. Fuentes González, Fabián & Webb, Janette & Sharmina, Maria & Hannon, Matthew & Braunholtz-Speight, Timothy & Pappas, Dimitrios, 2022. "Local energy businesses in the United Kingdom: Clusters and localism determinants based on financial ratios," Energy, Elsevier, vol. 239(PB).
    10. Hampton, Harrison & Foley, Aoife M. & Del Rio, Dylan Furszyfer & Sovacool, Benjamin, 2022. "Developing future retail electricity markets with a customer-centric focus," Energy Policy, Elsevier, vol. 168(C).
    11. Elena Korneeva & Nina Olinder & Wadim Strielkowski, 2021. "Consumer Attitudes to the Smart Home Technologies and the Internet of Things (IoT)," Energies, MDPI, vol. 14(23), pages 1-15, November.
    12. Furszyfer Del Rio, D.D., 2022. "Smart but unfriendly: Connected home products as enablers of conflict," Technology in Society, Elsevier, vol. 68(C).
    13. Fuentes González, Fabián & Webb, Janette & Sharmina, Maria & Hannon, Matthew & Pappas, Dimitrios & Tingey, Margaret, 2021. "Characterising a local energy business sector in the United Kingdom: Participants, revenue sources, and estimates of localism and smartness," Energy, Elsevier, vol. 223(C).
    14. Gonçalves, Luisa & Patrício, Lia, 2022. "From smart technologies to value cocreation and customer engagement with smart energy services," Energy Policy, Elsevier, vol. 170(C).
    15. Schallehn, Frauke & Valogianni, Konstantina, 2022. "Sustainability awareness and smart meter privacy concerns: The cases of US and Germany," Energy Policy, Elsevier, vol. 161(C).
    16. Sovacool, Benjamin K. & Bazilian, Morgan & Griffiths, Steve & Kim, Jinsoo & Foley, Aoife & Rooney, David, 2021. "Decarbonizing the food and beverages industry: A critical and systematic review of developments, sociotechnical systems and policy options," Renewable and Sustainable Energy Reviews, Elsevier, vol. 143(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Sovacool, Benjamin K. & Martiskainen, Mari & Furszyfer Del Rio, Dylan D., 2021. "Knowledge, energy sustainability, and vulnerability in the demographics of smart home technology diffusion," Energy Policy, Elsevier, vol. 153(C).
    2. Große-Kreul, Felix, 2022. "What will drive household adoption of smart energy? Insights from a consumer acceptance study in Germany," Utilities Policy, Elsevier, vol. 75(C).
    3. Shirani, Fiona & Groves, Christopher & Henwood, Karen & Pidgeon, Nick & Roberts, Erin, 2020. "‘I'm the smart meter’: Perceptions of smart technology amongst vulnerable consumers," Energy Policy, Elsevier, vol. 144(C).
    4. Attour, Amel & Baudino, Marco & Krafft, Jackie & Lazaric, Nathalie, 2020. "Determinants of energy tracking application use at the city level: Evidence from France," Energy Policy, Elsevier, vol. 147(C).
    5. Birgul Basarir-Ozel & Hande Bahar Turker & Vesile Aslihan Nasir, 2022. "Identifying the Key Drivers and Barriers of Smart Home Adoption: A Thematic Analysis from the Business Perspective," Sustainability, MDPI, vol. 14(15), pages 1-19, July.
    6. Pal, Debajyoti & Zhang, Xiangmin & Siyal, Saeed, 2021. "Prohibitive factors to the acceptance of Internet of Things (IoT) technology in society: A smart-home context using a resistive modelling approach," Technology in Society, Elsevier, vol. 66(C).
    7. Daniel J. Mallinson & Saahir Shafi, 2022. "Smart home technology: Challenges and opportunities for collaborative governance and policy research," Review of Policy Research, Policy Studies Organization, vol. 39(3), pages 330-352, May.
    8. Furszyfer Del Rio, D.D., 2022. "Smart but unfriendly: Connected home products as enablers of conflict," Technology in Society, Elsevier, vol. 68(C).
    9. Amel Attour & Marco Baudino & Jackie Krafft & Nathalie Lazaric, 2020. "Determinants of smart energy tracking application use at the city level: Evidence from France," Post-Print hal-02942483, HAL.
    10. Younjoo Cho & Anseop Choi, 2020. "Application of Affordance Factors for User-Centered Smart Homes: A Case Study Approach," Sustainability, MDPI, vol. 12(7), pages 1-23, April.
    11. Sovacool, Benjamin K. & Lipson, Matthew M. & Chard, Rose, 2019. "Temporality, vulnerability, and energy justice in household low carbon innovations," Energy Policy, Elsevier, vol. 128(C), pages 495-504.
    12. Tu, Gengyang & Faure, Corinne & Schleich, Joachim & Guetlein, Marie-Charlotte, 2021. "The heat is off! The role of technology attributes and individual attitudes in the diffusion of Smart thermostats – findings from a multi-country survey," Technological Forecasting and Social Change, Elsevier, vol. 163(C).
    13. Chen, Chien-fei & Nelson, Hannah & Xu, Xiaojing & Bonilla, Gregory & Jones, Nicholas, 2021. "Beyond technology adoption: Examining home energy management systems, energy burdens and climate change perceptions during COVID-19 pandemic," Renewable and Sustainable Energy Reviews, Elsevier, vol. 145(C).
    14. Su-Yen Chen & Chiachun Lee, 2019. "Perceptions of the Impact of High-Level-Machine-Intelligence from University Students in Taiwan: The Case for Human Professions, Autonomous Vehicles, and Smart Homes," Sustainability, MDPI, vol. 11(21), pages 1-14, November.
    15. Attié, Elodie & Meyer-Waarden, Lars, 2022. "The acceptance and usage of smart connected objects according to adoption stages: an enhanced technology acceptance model integrating the diffusion of innovation, uses and gratification and privacy ca," Technological Forecasting and Social Change, Elsevier, vol. 176(C).
    16. Osunmuyiwa, Olufolahan O. & Peacock, Andrew D. & Payne, Sarah R. & Vigneswara Ilavarasan, P. & Jenkins, David P., 2021. "Divergent imaginaries? Co-producing practitioner and householder perspective to cooling demand response in India," Energy Policy, Elsevier, vol. 152(C).
    17. Ponce de Leon Barido, Diego & Suffian, Stephen & Kammen, Daniel M. & Callaway, Duncan, 2018. "Opportunities for behavioral energy efficiency and flexible demand in data-limited low-carbon resource constrained environments," Applied Energy, Elsevier, vol. 228(C), pages 512-523.
    18. Koasidis, Konstantinos & Marinakis, Vangelis & Nikas, Alexandros & Chira, Katerina & Flamos, Alexandros & Doukas, Haris, 2022. "Monetising behavioural change as a policy measure to support energy management in the residential sector: A case study in Greece," Energy Policy, Elsevier, vol. 161(C).
    19. Elnert Coenegrachts & Joris Beckers & Thierry Vanelslander & Ann Verhetsel, 2021. "Business Model Blueprints for the Shared Mobility Hub Network," Sustainability, MDPI, vol. 13(12), pages 1-24, June.
    20. Buchanan, Kathryn & Banks, Nick & Preston, Ian & Russo, Riccardo, 2016. "The British public’s perception of the UK smart metering initiative: Threats and opportunities," Energy Policy, Elsevier, vol. 91(C), pages 87-97.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:144:y:2020:i:c:s0301421520303669. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.