In 2022 & 2023, market players expected to sail in rough waters; might incur losses due to huge gap in currency translation followed by contracting revenues, shrinking profit margins & cost pressure on logistics and supply chain. Further, U.S. economy is expected to grow merely by 3% in 2022. Purchasing power in the country is expected to fell nearly by 2.5%.
On the other hand, European countries to see the worst coming in the form of energy crisis especially in upcoming winters!! Right after COVID-19, inflation has started gripping the economies across the globe. Higher than anticipated inflation, especially in western world had raised concerns for national banks and financial institutions to control the economic loss and safeguard the interest of the businesses. Increased interest rates, strong USD inflated oil prices, looming prices for gas and energy resources due to Ukraine-Russia conflict, China economic slowdown (~4% in 2022) disrupting the production and global supply chain and other factors would impact each industry negatively.
August 2019: Sony India has announced the expansion of audio range products, the SRS-XB402M, which is an Alexa enabled wireless speaker.
March 2019: Roku, Inc. has released the new Roku skill for Alexa, which makes Alexa compatible with Roku’s existing voice search and control features in its voice-enabled Roku streaming devices.
Alexa is the virtual assistant developed by Amazon. Initially developed for its computing devices, viz. Amazon Echo and Echo Dot specifically, Alexa found its increasing utilization in wide range of devices. All those devices that supports Amazon’s virtual assistant ‘Alexa’, are referred to as Alexa enabled devices.
Alexa enabled devices utilizes Alexa Voice Service (AVS), designed exclusively by Amazon. AVS mimics real conversations, and is amazon’s intelligent voice recognition and natural language understanding service. It allows users to voice-enable any connected device that has a microphone and speaker.
The Alexa enabled devices market is observing vibrant growth on account of growing interests amongst consumers for IOT devices, shifting trends for smart home solutions, and the capability of these devices to make life processes easier for the consumers with a voice controlled command. Additionally, growing acceptance of Alexa Echo devices amongst consumers is raising the demand amidst consumer electronics manufacturers to devise their equipment with Alexa Voice Service (AVS), helping them raise their sales of their electronic products. According to the annual report of Amazon, customers have purchased more than 100 million Alexa-enabled devices since its debut with Echo in the year 2014. CLICK TO DOWNLOAD SAMPLE REPORT
The market is anticipated to record robust CAGR throughout the forecast period, i.e. 2019-2027. The Alexa enabled devices market is segmented by product type into smart home hub, lights, plugs, thermostats, cameras, locks, TVs, smart speakers, streaming devices and others, out of which, smart speakers segment is anticipated to hold significant market share owing to growing demand for multifunctional and entertainment devices. Additionally, the smart speaker market is anticipated to record a CAGR of 22.2% and is expected to attain a total market size of USD 34.4 billion by 2027.
The Alexa enabled devices market is further segmented by distribution channel into online and offline, out of which, online segment is anticipated to hold largest market share on account of increasing expansion of E-commerce industry, coupled with exciting offers & schemes provided by e-tailers. According to Indian Brand Equity Foundation, e-commerce industry in India is estimated to grow to 200 billion USD by 2026 from 38.5 billion USD in the year 2017.
According to The World Bank, percentage of urban population around the world increased from 53.46 to 54.82 in-between 2014-17, growing at a growth rate of 1.03x. Additionally, a report by Organisation for Economic Co-operation and Development (OECD) stated that household disposable income of USA grew from 45967.15 USD/capita in 2014 to 50291.66 USD/capita in 2017, growing at a growth rate of 1.09x.
The growing urban population and the rising disposable income is raising the demand amongst consumers to shift their trends towards lavish lifestyles. Alexa enabled devices helps customers to control their devices with the help of a single voice command. Owing to factors, such as ease of use, and others, manufacturers from the consumer electronics industry are increasing their focus towards the development of products, by implementing AVS in the products.
According to the statistics by the International Telecommunication Union (ITU), percentage of households with internet access around the world grew from 41.95 in 2013 to 54.40 in 2017.
Growing internet penetration around the globe and the advancements in technology, is raising the demand for IOT devices, which in turn is helping manufacturers to shift their focus towards manufacturing of IOT devices. Additionally, consumer electronics manufacturers are also taking the advantage of combining Artificial Intelligence (AI) with IOT devices, so as to increase their sales. All of these factors are anticipated to support the growth of the global Alexa enabled devices market throughout the forecast period.
There is a skeptical attitude amongst consumers about Alexa enabled devices pertaining to their purpose of utilization. Although, these devices are developed for their certain utilization, consumers doubt about how much they will be using the voice command to run these devices, which is anticipated to act as a barrier to the growth of the global Alexa enabled devices market.
Our in-depth analysis of the Alexa enabled devices market includes the following segments:
On the basis of regional analysis, the Alexa enabled devices market is segmented into five major regions including North America, Europe, Asia Pacific, Latin America and Middle East & Africa region.
North America is expected to hold significant market share on the back of growing demand amongst population for technically advanced consumer electronics goods, coupled with rising household disposable income amongst the population. Additionally, demand for home automation systems in the region is also anticipated to raise the demand for Alexa enabled devices during the forecast period.
The Alexa enabled devices market is further classified on the basis of region as follows: