HOME ELECTRONICS
Builder offers as standard or optional

	Standard	Optional	Both	Not offered	TOTAL
Structured wiring	33.9%	37.7%	6.4%	22.0%	100.0%
Monitored security	6.7%	49.9%	5.4%	37.9%	100.0%
Distributed audio	1.4%	51.8%	4.0%	42.8%	100.0%
Home theater	1.4%	50.7%	3.2%	44.7%	100.0%
Automated lighting control	0.1%	28.0%	3.0%	68.9%	100.0%
Home automation	0.2%	24.0%	2.9%	72.8%	100.0%
Energy management	0.4%	27.9%	3.3%	68.5%	100.0%

SYSTEMS INSTALLED: Percent of Homes

Structured wiring	42.1%
Monitored security	17.9%
Distributed audio	8.7%
Home theater	9.2%
Automated lighting control	1.1%
Home automation	0.4%
Energy management	0.8%

SYSTEMS INSTALLED: Typical Price

Structured wiring	$1,211
Monitored security	$1,215
Distributed audio	$1,411
Home theater	$5,105
Automated lighting control	$8,786
Home automation	$4,140
Energy management	$2,065

IMPORTANT FACTORS IN COMPANY'S DECISION TO INSTALL:

	needed to compete in market	buyer or architect specifies	Increases our profit potential	set us apart from competition
Structured wiring	74.7%	14.6%	22.3%	32.5%
Monitored security	47.5%	27.6%	32.9%	18.9%
Distributed audio	32.5%	37.1%	47.3%	20.2%
Home theater	30.9%	34.4%	51.1%	21.1%
Automated lighting control	25.6%	47.0%	31.4%	16.2%
Home automation	22.4%	48.4%	30.0%	13.2%
Energy management	28.8%	40.1%	32.6%	13.0%
Reasons Company does not Install:
	not much demand for product	too little profit potential	can't find product or installer	need to learn more about it first
Structured wiring	94.7%	3.3%	0.1%	5.2%
Monitored security	76.6%	17.5%	4.3%	3.9%
Distributed audio	83.0%	6.2%	4.9%	14.1%
Home theater	84.0%	3.2%	4.2%	13.3%
Automated lighting control	85.5%	3.5%	4.4%	21.5%
Home automation	84.9%	4.2%	4.4%	20.0%
Energy management	88.6%	2.9%	4.3%	16.5%

HOMES EQUIPPED (AT MOVE-IN) WITH HIGH-SPEED INTERNET CONNECTION (CABLE, ADSL/DSL, T1 LINE, OR SATELLITE)
Percent of Homes	36.4%
HOMES WITH A HOME OFFICE
Percent of Homes	28.9%
IMPORTANCE OF INCLUDING LATEST HOME TECHNOLOGIES IN MARKETING HOMES COMPARED TO TWO YEARS AGO
Much more important now	31.4%
Somewhat more important now	39.5%
Neither more nor less important now	27.9%
Somewhat less important now	1.2%
Much less important now	0.0%
TOTAL	100.0%
IN THE PAST TWO YEARS COMPANY REVENUES FROM ADDING HOME ELECTRONICS TECHNOLOGIES HAS:
Greatly increased	9.3%
Somewhat increased	40.2%
Stayed about the same	49.0%
Somewhat decreased	1.2%
Greatly decreased	0.2%
TOTAL	100.0%
IMPORTANCE OF INCLUDING LATEST HOME TECHNOLOGIES IN MARKETING HOMES
Very important	19.2%
Somewhat important	51.7%
Not important at all	29.1%
TOTAL	100.0%
TYPE OF SUPPLIERS/INSTALLATION CONTRACTORS USED FOR HOME ELECTRONICS TECHNOLOGIES
Electrical contractor	75.7%
Security installer	73.0%
System integrator/Custom installer	34.6%
Major retailer	4.4%
Utility company	12.1%
Our company installs them win in house labor	1.5%
Other	0.6%
AVERAGE RATING OF SATISFICTION WITH PEOPLE USED TO SUPPLY AND INSTALL HOME TECHNOLOGY PRODUCTS
1 = Very unsatisfied; 5 = Very satisfied
Electrical contractor	3.77
Security installer	3.50
System integrator/Custom installer	3.45
Major retailer	2.86
Utility company	2.42
WHERE DO YOU LEARN ABOUT NEW TECHNOLOGIES THAT ARE AVAILABLE FOR HOMES
NAHB	55.1%
Local/State home builder assn.	39.9%
Other associations	2.6%
Trade shows	59.0%
Local custom installers/suppliers	49.8%
Internet	26.6%
Trade publications	75.2%
Other	5.3%
AVERAGE RATING OF LIKELIHOOD OF HOME BUYERS TO BUY ELECTRONICS TECHNOLOGIES WITH THEIR NEW HOMES
1 = Not Likely; 5 = Very Likely
18 to 24	3.23
25 to 34	3.92
35 to 44	3.97
45 to 54	3.55
55 to 64	2.87
65 and over	2.19
AVERAGE RATING OF HOME BUYERS TO BUY ELECTRONICS TECHNOLOGIES WITH THEIR NEW HOMES
1 = Not Likely; 5 = Very Likely
Under $50,000 per year	2.09
$50,000 to $74,999	2.80
$75,000 to $99,999	3.30
$100,000 to $149,999	3.65
$150,000 to $199,999	4.21
$200,000 or more	4.36
AVERAGE RATING OF IMPORTANCE WHEN SELECTING A HOME TECHNOLOGY INSTALLER
1 = Not important; 5 = Very important
Supplier/Installer has desired brands	3.41
Completeness of offerings	3.95
Price	4.17
Opportunity for recurring revenues	3.38
Reputation	4.06
Recommendations of other professionals	3.63
Years in business	3.45
Size of company	2.84
Simplicity of offering	3.62
Experience in working with homebuilders	4.14
LIKELIHOOD OF HOME BUYERS WITH CHILDREN TO PURCHASE ELECTRONICS TECHNOLOGIES THAN BUYERS WITHOUT CHILDREN
More likely to purchase	32.3%
About the same likelihood of purchasing	48.6%
Less likely to purchase	2.5%
Don't know	16.6%
TOTAL	100.0%
LIKELIHOOD OF USEAGE OF NATIONAL RATING SYSTEM (ENABLES HOMEBUYERS TO UNDERSTAND THE TYPES AND AMOUNT OF TECHNOLOGY USED)
Not likely	34.5%
Somewhat likely	53.6%
Very likely	11.9%
TOTAL	100.0%
Note: Survey based on responses of 552 builders polled in December 2002 Source: NAHB Research Center, Inc./CEA ©TWICE 2003