HomePod Grabs a Little Share

US Installed Base Reaches 50 Million Units, More Owners with Multiple Units

Consumer Intelligence Research Partners, LLC (CIRP), today released results from its research on smart speakers, including Echo from Amazon.com, Inc. (NASDAQ:AMZN), Home from Google (NASDAQ: GOOG), and HomePod from Apple (NASDAQ:AAPL) for owners of devices as June 30, 2018.

CIRP analysis indicates that within the US installed base of devices, Amazon Echo has 70%, while Google Home has 24% and Apple HomePod has 6% (Chart 1).

  Chart 1: Share of US Installed Base

Chart 1: Share of US Installed Base

Apple introduced HomePod in the first quarter, and now has a small but meaningful share. It took a small share of the market from both Amazon and Google. Still, Amazon has a two-year head start, and Amazon and Google each have a low-priced device that accounts for at least half of unit sales, so it’s not clear how much further Apple can establish itself in the market without a more competitive model.

34% of Amazon Echo users and 31% of Google Home users report owning more than one device (Chart 2).

  Chart 2: Number of smart speakers per owner

Chart 2: Number of smart speakers per owner

Both Amazon and Google encouraged users to buy multiple units, through pricing and promotions. Each brand wants to establish a position in a household, with units in every room. This seems to work, as about one-third of owners have multiple units, and almost 10% of Echo users have three or more. The strategy of a very low-priced smart speaker encourages users to try one, and then add more as they get comfortable with the concept. While HomePod does have a modest share of the installed market, it’s not large enough to allow us to analyze number of units per owner in our sample.

CIRP bases its findings on its survey of 500 US owners of Amazon Echo, Google Home, and Apple HomePod, surveyed from July 1-18, 2018, who owned one of these devices as of June 30, 2018. For additional information, please contact CIRP.