© 2016 Argus Insights, Inc. Confidential: Do Not Distribute

Smart Home Market Analysis for September 2016Subscribe to the Argus Analyzer for access

Presentation graphs come as “action packs” Directly from the Pragmatic subscription

JD DillonArgus Insights Head of Marketing & Operations

13 October 2016

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Pragmatic News & Conversations Market Insights (AP1)

• Market Action Pack Objectives:– Define concepts associated with the analysis of news & external conversations– Provide graphs for the PM to brief executives on the “State of the Market” – Establish a baseline of understanding when entering a new market

• Market Action Pack Agenda:– How Much Chatter Last Month? (viz52)– Who Have They Been Talking About? (viz59)– Good or Bad Conversations? (viz42)– Getting Better or Worse? (viz47)– Conclusions

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News & External Conversations

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How Much Chatter Last Month?

Average ~3,550 daily

Weekends Low

Apple drives highest social volume

Amazon over multiple days as well

Single large spike w/ Nest

Weekends Low

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Who Have They Been Talking About?

Tech Crunch article on Apple (Brian Heater)

Bloomberg reports “Echo-like” Apple project

BI Intelligence claims low impact by Apple on Smart Homes

Honeywell thermostat withApple HomeKit functionality

Ray Wong review of theEcho Dot II

Amazon Echo Release

Mokriya blog cites success w/ Amazon, iRobot, Sonos

Barbie Dreamhouseneeds to act like theAmazon Echo

Nest ThermostatsIn multiple colors

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Good or Bad Conversations?

But this is largely neutral unless/until products come out

Positive comparisons drove much of Amazon trafficProducts (Echo) also drive positive traffic

Brands (Apple) may drive heavy traffic

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Getting Better or Worse?

Apple sentiment relatively flat as volume is > 2X

Amazon conversation volume didnot change much month-to-month,but the sentiment is improving.

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Pragmatic News & Conversations Market Conclusions

• Market largely a business & expert discussion (Weekend drop)• Product releases gain attention, but fade fast (Nest spike) • Sustained strength comes from expert reviewers (Amazon)• Positive 3rd party comparisons become the market narrative (Amazon)• External marketplace requires constant diligence (Apple +, Nest -)

• Actions for your company… [fill in the blank here]• First recommended action is to consider an Argus Analyzer subscription

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