CEA: Demand For Installed Home Tech Growing


Arlington, Va. - Installed home technology is strongly solidified in builders' portfolios of services and offerings, according to the Consumer Electronics Association's (CEA) "10th Annual State of the Builder Technology Market Study."

Entertainment and automation solutions are helping builders differentiate their businesses, while more common home technologies like structured wiring are necessary to compete effectively in the market.

"This year's study confirms CEA's long-held belief and prediction that home technology would make a positive contribution to the inevitable housing market recovery as home buyers' digital lifestyles and desires for energy efficiency factor into purchasing decisions," said Steve Koenig, CEA's industry analysis director. "For example, home automation and lighting controls tap into buyers' rising concerns regarding energy costs, while a focus on home theater and multi-room audio demonstrate that builders can meet the growing homeowners' demands to access entertainment anywhere in the home."

The study found an increase in installations across all technology sectors, with the biggest gains in structured wiring (63 percent of new homes in 2011 vs. 45 percent of new homes in 2010). Energy-management solutions, such as automated lighting controls (12 percent vs. 7 percent) and home automation (10 percent vs. 5 percent), were at all-time highs.

Entertainment features also performed strongly in 2011 with the multi-room audio (23 percent) and home-theater (29 percent) installations rebounding strongly after their recession-period lows.

The study also found that builders have embraced other construction opportunities, such as remodeling existing homes (57 percent). Even as the housing market shows signs of life, industry players should not lose their focus on aftermarket opportunities, as one in five builders said remodeling has generated more revenue than new-home building in the past 12 months.

The CEA's study was conducted in conjunction with the National Association of Home Builders (NAHB) Research Center, which gathered data through the Annual Builder Practices Survey, including new construction information from U.S. homebuilders. The study provides home-technology professionals with a better understanding of homebuilders' perceptions of and motivations for installing home technology in new home construction and the remolding market. 

The "10th Annual State of the Builder Technology Market Study (May 2012)" was conducted from Dec. 13, 2011, through Jan. 9, 2012. It was designed and formulated by

CEA Market Research


The report is available free to

CEA member companies

. Non-members may purchase the report for $699 at the

CEA Store.


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