Padlock Smart Lock Market Size, Share, Growth Report 2032

Industry Prospective:

The global padlock smart lock market size was worth around USD 2.42 billion in 2022 and is predicted to grow to around USD 9.88 billion by 2030 with a compound annual growth rate (CAGR) of roughly 19.22% between 2023 and 2030. The report analyzes the global padlock smart lock market drivers, restraints/challenges, and the effect they have on the demands during the projection period. In addition, the report explores emerging opportunities in the padlock smart lock market.

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Padlock Smart Lock Market: Overview

The padlock smart lock industry refers to the designing, manufacturing, and distribution of smart locks that can be controlled or used with the aid of a smartphone application or other associated devices. These locks offer excellent safety features along with enhanced convenience as opposed to traditional locks which is the main reason why the industry is surging at a rapid rate.

Users of padlock smart locks can use or access the lock remotely. These activities include locking or unlocking doors, providing easy access to guests or family members along with receiving timely alerts in case of intrusion of unwanted activities. In most cases, padlock smart locks are installed with advanced technologies such as Bluetooth or Wi-Fi connectivity which enables access to the lock using a smartphone application or software program. During the forecast period, the industry growth prospects are expected to be positive.

Key Insights:

• As per the analysis shared by our research analyst, the global padlock smart lock market is estimated to grow annually at a CAGR of around 19.22% over the forecast period (2023-2030)
• In terms of revenue, the global padlock smart lock market size was valued at around USD 2.42 billion in 2022 and is projected to reach USD 9.88 billion, by 2030.
• The padlock smart lock market is projected to grow at a significant rate due to the increasing adoption of smart technology
• Based on vertical segmentation, residential was predicted to show maximum market share in the year 2022
• Based on communication protocol segmentation, Bluetooth was the leading protocol in 2022
• On the basis of region, North America was the leading revenue generator in 2022

Padlock Smart Lock Market: Growth Drivers

Increasing adoption of smart technology to drive market growth

The global padlock smart lock market is projected to grow owing to the increasing adoption of smart technology across the world. With the rising number of younger generations, the use of smartphones and associated technologies has grown at a tremendous rate in the last decade.

In addition to this, market players have worked consistently to make use of advanced systems such as Bluetooth and Wi-Fi user-friendly which ensures that the older generation is also comfortable with these systems. This has led to a multifold increase in revenue from smart technologies which is expected to grow even further during the forecast period. For instance, industry experts have predicted that by 2023, the Indian market for smartphones is predicted to reach more than 175 million units.

Padlock Smart Lock Market: Restraints

High cost to restrict market expansion

The global padlock smart lock industry is expected to come across certain growth restrictions owing to the relatively higher cost of padlock smart locks as compared to traditional locks. The high price of these systems has led to the market currently becoming more limited since the majority of the population, especially in developing nations or countries with severe economic, political, and social crises may not invest in these products. In addition to this, the current predictions of the economic slowdown may force people to push these advanced systems to the lower section of the priority list.

Padlock Smart Lock Market: Opportunities

Growing demand for home automation to provide several growth opportunities

The global padlock smart lock industry is expected to benefit from the rising demand for home automation across developed nations along with tier-1 cities or states of developing economies. With the increasing level of hectic lifestyle due to several factors, the need for automated systems that can be managed remotely is higher than ever. Home automation is known to provide enhanced convenience to users since units such as lighting, temperature, security systems, and entertainment systems can be controlled using a smartphone program. The rising rate of urbanization is likely to provide better revenue prospects.

Padlock Smart Lock Market: Challenges

Issues with compatibility to challenge market growth

One of the key challenges that the global padlock smart lock market players come across frequently is related to the issues with the compatibility of padlock smart locks with existing software or hardware security mechanisms at residential or commercial places. In case of incompatibility, users may be forced to change their entire system in case a padlock smart lock is a priority which can lead to increased costs. Moreover, the lack of adequate education and awareness about the existence and advantages of these advanced tools could hinder industry sales revenue.

Padlock Smart Lock Market: Segmentation

The global padlock smart lock market is segmented based on vertical, communication protocol, and region.

Based on vertical, the global market segments are institution & government, commercial, industrial, and residential. In 2022, the industry amassed the highest growth in the residential segment and it is expected to continue its dominance during the forecast period. The increase is projected to be driven by the rising number of homeowners investing in home automation along with the use of advanced security tools to safeguard their families and assets.

Since smart locks are known to provide significant improvement in terms of added security, convenience, and remote control of their homes' access, the segmental growth may remain highest in the coming years. The commercial along with the institution & government segments are also important to the market growth. A survey by ADT, a home security company, stated that an average American spends nearly USD 350 on home security systems and services.

Based on communication protocol, the global padlock smart lock market is segmented into Bluetooth, Wi-Fi, and others. In 2022, the Bluetooth segment was witnessed to be leading with the highest segmental share. This technology is mainly used for communication between short-range devices. It runs on low power and hence a low-cost protocol as it eliminates the need of installing a network or internet connection. Its easy-to-setup feature provides added leverage to Bluetooth-powered padlock smart lock.

However, there are certain products that use Wi-Fi technology and are mostly used in home automation systems. The average range of padlock smart locks is between USD 50 to USD 500.

Recent Developments:

• In May 2022, Blockchain Lock and Lockin, announced the launch of Lockin Smart Lockbox L1 and Lockin Smart Lock G30, in a joint press conference. This move has helped in establishing the formal entry of Lockin in the Japanese market. As reported, G30 is designed to be used in over 40 countries and is one of the most advanced smart locks developed by Lockin
• In May 2022, Delta, a Singapore-based firm operating in the industry, made its entry in the Indian market with the launch of a new smart lock that does not need an active internet connection to function. The product is named ‘Delta X1 Smart Lock Onyx Rose Gold’ and is termed as the first-of-its-kind smart lock with ‘No WiFi’ as its selling quote
• In January 2023, igloocompany, a Singapore-based smart lock manufacturer, announced the launch of its new line of products called CES 2023. This addition helps the company expand its product portfolio

Padlock Smart Lock Market: Report Scope

Padlock Smart Lock Market: Regional Analysis

North America to witness the highest growth

The global padlock smart lock market is projected to witness the highest growth in North America with the US and Canada acting as major regional shareholders. The US is registered at a surging rate in terms of adoption of home automation tools mainly driven by the presence of a technology-oriented population and the mature market that the US has already established in terms of using advanced systems and tools on an everyday basis.

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In addition to this, the increasing number of players offering cost-effective padlock smart lock items is another crucial factor for the regional expansion. Additionally, the high rate of purchasing power, increasing number of crimes, and other associated causes directly contribute to the increased revenue in North America.

Growth in Europe is likely to be a result of the increased number of smart homes in Germany, France, and the UK along with the increasing rate of consumer awareness.

Padlock Smart Lock Market: Competitive Analysis

The global padlock smart lock market is led by players like:

• August Home
• Kwikset
• Schlage
• Yale
• Danalock
• Ultraloq
• Igloohome
• Lockitron
• Level Home
• Friday Labs
• Haven
• Kevo
• Nuki
• Gate Labs
• SimpliSafe
• Ring
• ADT
• Brinks Home Security
• Vivint Smart Home
• Nest
• Honeywell
• Abode Systems
• Canary
• Guardzilla
• Swann.

The global padlock smart lock market is segmented as follows:

By Vertical

• Institution & Government
• Commercial
• Industrial
• Residential

By Communication Protocol

• Bluetooth
• Wi-Fi
• Others

By Region

• North America
  • The U.S.
  • Canada
• Europe
  • France
  • The UK
  • Spain
  • Germany
  • Italy
  • Rest of Europe
• Asia Pacific
  • China
  • Japan
  • India
  • South Korea
  • Southeast Asia
  • Rest of Asia Pacific
• Latin America
  • Brazil
  • Mexico
  • Rest of Latin America
• Middle East & Africa
  • GCC
  • South Africa
  • Rest of The Middle East & Africa