Energy utility study 2020: Convergence between energy and real estate industry
We have been observing for some time now that the energy and housing markets are becoming increasingly interlocked with each other. Companies cooperate and develop joint products in technology, telecommunication, mobility and housing sectors. The recently published public utilities study 2020 by EY and the Federal Association of the Energy and Water Industry (BDEW) confirms the increasing convergence and interviewed managing directors and board members of 166 companies in Germany, Austria and Switzerland.
Common goals as a basis for cooperation
The energy and real estate market have a lot of similarities and follow the same goals. Their synergy gives rise to new business areas that strengthen them in the market and make them competitive. Their core sectors are: technology, telecommunication and mobility. From the perspective of the housing industry, it is important to withstand the enormous cost and competitive pressure of digitization and process optimization. From the point of view of the energy industry, it is essential to develop new business areas to secure the core business and to shape climate change. Both strategies are closely related and interdependent. The real estate industry and energy industries are also united by the goal of implementing energy-efficient solutions, such as tenant electricity concepts in line with the EU Energy Efficiency Directive.
How is the increasing convergence and new digital services of both markets evaluated by the energy industry? Positive!
- 72 percent assume a high or very high synergy potential
- 85 percent see convergence as a great opportunity
- 79 percent describe digitization as the driving force
- 84 percent state that they consider platforms as a business segment
IoT service platform by ROCKETHOME
For decision-makers in the energy industry, it is also clear that energy-related business areas such as energy supply, energy services and digital metering are the most important aspects, followed by electro mobility, connected home, digital services, neighborhood concepts and smart city. The IoT service platform by ROCKETHOME combines all these areas and offers a One User Experience, fulfilling the highest level of connectivity and service.
Smart metering: 81 percent of those respondents consider it the most relevant technology for digital transformation. In the course of the introduction of intelligent metering systems at the beginning of 2020, smart metering will form the basis for versatile new applications and products. Here, companies are moving closer together, as smart meters are installed directly in buildings.
Elektro mobility: 60 to 80 percent have already developed offers for emission-free mobility – and the trend is increasing. Public utilities are expanding the public charging infrastructure on behalf of local authorities. As a result, business areas in neighborhoods, for example, are becoming increasingly important as concepts for the housing industry. Here, promising energy-related services such as charging points and tenant electricity models can be implemented together with real estate developers and building owners. This also strengthens customer loyalty and raises the attractiveness for new customers.
Connected home & smart building: : 45 percent of those surveyed see themselves as platform operators in the connected home business segment. Energy products are just as much in demand here as smart home applications that bring comfort and lifestyle. In addition, 58 percent of those surveyed regard neighborhood concepts as promising business models. Here, the close cooperation between companies from the energy and housing industries enables new solutions by pooling the expertise of both sides.
- Smart city concepts: 60 percent of those surveyed attach great importance to intelligent infrastructure in cities and smart industrial solutions. They will significantly change urban life in cities and in the countryside.
Outlook: Exploiting efficiency and growth potential
The digital transformation of energy services and living space is progressing rapidly - for energy providers, the housing industry is one of the most important cooperation partners! To make the future climate-neutral, energy-efficient and innovative, joint solutions such as digital platforms are needed. They promise market success, address needs, strengthen customer contact and, in their development process, create a network of experts with players from the energy, housing and IoT world.
ROCKETHOME's IoT service platform as an interface for your project
Would you like to learn more about the potential of cooperation between the housing and energy industries in IoT projects? Our experts will be happy to advise you on your digital project, drawing on their many years of market experience in both worlds. Please contact us via firstname.lastname@example.org.
The complete study with detailed results and data can be found here:
Public utility study 2020.
We also recommend the following article on digital platforms:
"How energy suppliers can score in the platform business".