Soundbars are a form of conglomerated speakers, in which multiple speakers are built into a slim, compact unit. This eliminates the need for a multitude of wires in conventional speakers, making the design more convenient and durable. Soundbars often come with the technology to compensate for the seeming lack of surround sound due to the unified nature of speakers, with various sections of the soundbar replicating various positional audio outputs that produce surround sound.
The portability of soundbars is a crucial factor in the growth of the global soundbar market. Most modern soundbars come equipped with wireless connectivity options, which is in line with the growing trend of wireless audio streaming and smart homes. Bluetooth and other wireless connectivity options allow modern soundbars to play audio from anything from mobile phones and iPods to compatible television sets, making them invaluable in smart homes. The soundbar market is expected to grow at a moderately healthy CAGR of more than 10% from 2014 to 2019, aided by a corresponding rise in the construction of smart homes.
Here’s how the growing preference for smart homes helps the global soundbars market:
- Flexible Audio Streaming Capacity: As mentioned before, the wireless connectivity abundant in smart homes means that speakers riddled with the traditional, cluttering wiring units and specific, limiting wired connectivity options are on the way out. Instead, wireless soundbars fill this void perfectly, fulfilling the needs of smart homes.
- Rising Disposable Income: The growing preference for smart homes also reflects the increasing purchasing power of the average buyer thanks to increasing disposable incomes. This helps consumers purchase technologically advanced equipment rather than settling for the bare minimum, which will help the soundbar market grow, especially in developed regions such as North America and Europe.
- Product Bundling: The growing trend of smart homes is also giving rise to the trend of product bundling in the residential construction industry. This consists of multiple technologically compatible products being sold in a single package. The high rate of inclusion of soundbars in such packages will help the soundbar market grow.
As can be seen, the soundbar market stands to gain a lot from the growing number of smart homes. The major restraint on the soundbar market is the wide pricing range of soundbars. While this doesn’t affect products sold as part of a bundle, further highlighting the role of smart homes in the global soundbar market, standalone soundbar devices could suffer due to a failure to draw around a mean pricing structure.
The market’s growing profitability is also increasing competition, making it harder for individual vendors to carve out a significant stake. Well-known audio systems manufacturers such as Bose, Arcelik, Sennheiser Electronic, Yamaha, Voxx International, and Koninklijke Philips currently dominate the global soundbar market.