How to Build a Smart Home From Scratch? A Guide for Construction Business
As modern life propels into the age of technology, homes are not just places to live anymore, they’re getting smarter. A substantial 81% of buyers prefer new homes equipped with smart technology, showcasing an inclination toward modern, connected living. Let’s dive into the future of living by understanding how construction companies can build a house that truly thinks for its owner from scratch.
How can construction companies benefit from building smart homes?
Extra revenue streams
Introducing smart homes opens up new avenues for generating revenue. According to recent statistics, the U.S. smart home market is poised to experience a steady expansion in the coming years. Specifically, growth rates of 10.2% are projected annually from 2024 through 2027. It is more than a mere trend, it indicates a shift in consumer preferences toward more intelligent, convenient, and sustainable living solutions.
Millennials are reshaping the housing market by showing a readiness to invest an additional 20% or more in homes equipped with the latest technology. Younger consumers are ready to buy premium properties equipped with intelligent features, reflecting a growing appreciation for the conveniences and advancements that smart homes provide. As a result, construction companies can expect a substantial increase in revenue when compared to traditional homes.
Source: Statista
Higher facility price
The integration of smart technology into a home is an enhancement of the living experience. Smart homes offer greater convenience, security, and energy efficiency, and these features are often reflected in a higher market price.
Longer client lifetime value (CLV)
Building smart homes is not a one-time transaction. By starting, you begin an extended relationship with the client. Through value-added services like customized SaaS solutions and the sale of complementary devices, construction firms can increase Client Lifetime Value. This continuous engagement provides multiple touchpoints to foster loyalty, resulting in long-term profitability.
Enhanced brand image
By embracing the smart home revolution, construction companies position themselves as pioneers in the industry. It elevates the brand’s image and resonates with a modern, tech-savvy consumer base, setting the company apart from traditional competitors.
Sustainability and energy efficiency
Smart homes align with the growing demand for environmentally responsible living. With features like intelligent climate control and lighting systems, construction companies are meeting consumer expectations and playing a part in the global sustainability movement. The green approach in housing is becoming increasingly appealing to buyers. These solutions align properties with eco-friendly regulations and resonate with consumers’ desire to embody responsible environmental stewardship. A recent global survey by Schneider Electric reveals that 70% of consumers regard leading a sustainable lifestyle as significant.
Data-driven insights
Smart technology provides valuable data on how residents interact with their living spaces. Construction companies can leverage these insights to design homes more attuned to customer needs and preferences.
Incorporating intelligent technologies into the construction process and operations help businesses manage their own assets efficiently. For example, constant asset tracking offers complete oversight of assets and staff across various locations, enabling real-time monitoring. Integrating smart networks with security systems can significantly reduce theft, ensuring the protection of remote areas and boundaries.
Improved customer experience
Smart homes represent a seamless integration of technology and daily life. This added layer of convenience and personalization enhances customer satisfaction, leading to positive word-of-mouth and potential referral business.
A step-by-step guide to set up a smart home business from scratch
Define technical requirements to match facilities
Identify the scale of your operation to determine the number of smart devices required in each facility. Establish the range of functions and features offered through smart home systems or hubs, considering the needs and expectations of modern consumers. Design various pricing and subscription models catering to different market segments.
Decide on the frequency of firmware updates to ensure that all devices operate with the latest technology. A firmware update represents a critical enhancement or refinement of the embedded software or code within various electronic devices. It’s vital to recognize that it acts as the governing force behind specific integral components of a device, such as a microprocessor, memory modules, chips, or various sensors. This update ensures that these key elements function in harmony and at optimal levels, reflecting the continuous evolution of technology.
Order development of a SaaS solution
Collaborate with a technology partner or engage an in-house development team to build a tailored SaaS solution based on your defined requirements. Opt for an agile development process and rapid application development tools like XME.fast code platform, to enhance your development velocity, speed up Time-to-Market and achieve high ROI in a tight schedule.
Launch a powerful marketing campaign
Develop a robust marketing strategy highlighting your unique value proposition and targeting your ideal customer demographic. A marketing campaign is indispensable for a business, especially when promoting home automation products. Get social media to showcase user-friendly control systems and craft quality landing pages to direct targeted traffic. Leverage your network to generate leads and gather potential clients’ emails, but approach homeowners with care, recognizing their desire for unique home systems.
Equip facilities with smart devices
Select the appropriate smart devices aligned with your offerings and collaborate with construction companies to ensure seamless integration. Consider working with trusted manufacturers that are attuned to the latest technological advancements in the smart home market.
Maintain software, devices, and analyze reporting and performance
The intricate task of maintaining and analyzing smart devices requires expertise and precision. Partnering with a specialized provider like XME.digital can be a wise decision. Recognized for comprehensive maintenance and analysis services, the team ensures that your smart home system consistently performs at its peak, satisfying your clients and retaining their trust.
Summary
In the growing landscape of smart home construction, opportunities abound for those ready to embrace the future of living. From boosting revenue and enhancing customer experience to playing a part in global sustainability, integrating intelligent features into homes has become more than a trend. It’s a response to the desires of modern society.
Creating top-notch custom software to drive smart home construction is tricky and time-consuming. But you can make it easier with the XME.fast code platform - a proven low-code solution capable of providing your business with plenty of open-source and fully customizable templates for best-of-breed software development.
