Keys to Consumer Acceptance

January 24, 2012
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The smart and connected home was a popular theme at the recent Consumer Electronics Show. And that should be a very good thing for energy management, because companies from Panasonic to Samsung to LG and more were showing at least conceptual energy management systems.

LG and other companies showed home energy mamagement systems at CES that display connected appliances as well as measure energy use. But when these products are brought to the market, they will also have to engage consumers in a connected home experience.

Though that doesn’t mean it will just happen. “Consumers don’t wake up and say they want a connected home.” Says Dave McCalpin, General Manager of GE’s Home Energy Management (HEM) business.

In a panel discussion on the connected home, McCalpin and others outlined some keys to consumer acceptance—not just of the now almost-mythical smart grid but applying to consumers interested, or potentially interested, in energy efficiency and energy management.

“Consumers are discerning,” McCalpin said. “It will take compelling value propositions to drive adoption.”

He identified four key areas of opportunity:

  • Better managing ways to conserve resources.
  • Maintenance and service (especially with self-diagnostic products and cloud-based services).
  • Improve experiences with products (in other words, make life easier and more convenient).
  • Engaging experience.

“Ultimately it’s about value proposition to get consumers to take those first steps,” McCalpin stated. “One value proposition that is very appealing is around home comfort.

But on top of that, connectivity and control at your fingertips.”

This means maintaining or improving that comfort in a home, and offering easy control of devices and things like thermostats from smartphones and other mobile applications.

Make it Simple, with Benefits

Kris Bowring, senior director, platform lead, Home and Energy Management at Best Buy, said that energy management will become more and more important as consumer electronics devices use more and more electricity. Also, though, these products must integrate into consumers’ everyday lives. No one size fits all.

And when it comes to a user interface, it has to be wonderful, with apps.

He cited a good equation to work by: The value of customer experience has to be greater or equal to difficulty plus complexity. That’s without making it difficult or complex, of course. Rather, you have to translate the complex into the desired and simple.

He said consumers in 2011 want to know:

  • Where do I start, who do I turn to?
  • What gets me going and gives me best bang for the buck?
  • Help me sort through possible actions.
  • Help me understand the trade-offs.
  • Break it apart—with what I can do now and later.

“Consumers don’t know what they don’t know, but they’re willing to learn,” he said. And they would appreciate someone making it easier for them to know what to do. That’s key and critical.

  • This can come from a website, a retailer, or visit to friends’ house.
  • Help me feel good about what I’m doing.
  • Help me see how it’s benefiting me.

Also see:

2012: The Year of Smart Appliances?

Smart, Connected Home = Green?

At CES, Smart Energy Abounds

Sustainability is a Feature

2012: The Year of Energy Management?

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