Consumer acceptance of smart appliances. Summary report of results of focus groups
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- Violet Summers
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1 Consumer acceptance of smart appliances Summary report of results of focus groups D 5.4 of WP 5 report of Smart-A project A report prepared as part of the EIE project Smart Domestic Appliances in Sustainable Energy Systems (Smart-A) Written by Wilma Mert, mert@ifz.tugraz.at, IFZ With contributions from: Daniel Pozzi Christophe Pirotte, Valicon Melanie Watts, Susan Hogan, Joule Centre, University of Manchester
2 Summary report focus groups Smart-A The project "Smart Domestic Appliances in Sustainable Energy Systems (Smart-A)" is supported by the European Commission through the IEE programme (contract no. EIE/06/185//SI ). The sole responsibility for the content of this report lies with the authors. It does not represent the opinion of the European Communities. The European Commission is not responsible for any use that may be made of the information contained therein. November
3 Smart-A Summary report focus groups Content 1 Introduction Methodology Objectives Selection of participants Procedure Results of focus groups in Austria Selection of participants Associations of smart domestic appliances User behaviour Motivation to buy smart appliances Control Monitoring Costs of smart appliances Non-monetary benefits Feedback Inconveniences of smart appliances and possible solutions Results of focus groups in Germany Selection of participants Associations of smart domestic appliances User behaviour Motivation to buy smart appliances Control Monitoring Costs of smart appliances Non-monetary benefits Feedback Inconveniences of smart appliances and possible solutions Results of focus groups in Solvenia Selection of participants Associations of smart domestic appliances User behaviour Motivation to buy smart appliances Control Monitoring Costs of smart appliances Non-monetary benefits Feedback Inconveniences of smart appliances and possible solutions... 38
4 Summary report focus groups Smart-A 5.11 Results of focus groups with early adopters Associations of smart domestic appliances User behaviour Costs of smart appliances Non-monetary benefits Results of focus groups in the UK Selection of participants Associations of smart domestic appliances User behaviour Motivation to buy smart appliances Control Monitoring Costs of smart appliances Non-monetary benefits Feedback Inconveniences of smart appliances and possible solutions Results of focus groups with early adopters Associations of smart domestic appliances User behaviour Costs of smart appliances Non-monetary benefits Conclusions
5 Smart-A Summary report focus groups 1 Introduction The Smart-A project The project Smart Domestic Appliances in Sustainable Energy Systems (Smart-A) aims at developing strategies how smart domestic appliances can contribute to load management in future energy systems. In order to do this, the project assesses the options for load-shifting by a variety of appliances across Europe and compares these with the requirements from energy systems both on the supra-regional and the local level. It is expected that these systems will have to integrate larger shares of renewable energy in the future, which are partly intermittent, and therefore will require a smarter management of generation, network capacities and demand. The technical aspects of the assessment include an analysis of potential changes to appliances operation, of characteristics of local energy generation (from renewable energies and also cogeneration) and of load management requirements in the larger electricity networks. The project also features a detailed assessment of the acceptance of smart appliances operation by users, and an evaluation of the usability of available control technologies and communication standards. The overall potential of smart appliances is assessed based on a model which takes into account the variations of appliance use and the framework conditions in energy systems. The project is conducted in cooperation with manufacturers of appliances and electric utilities. The findings from the analysis are being tested with experts in regional case studies in selected European countries. This report This report summarises the results of focus groups, which have been done in the countries Austria, Germany, Slovenia and United Kingdom. All together ten focus groups have been performed. Aim of the focus groups was to get a better understanding under which conditions users might adopt smart appliances.
6 Summary report focus groups Smart-A 2 Methodology 2.1 Objectives The design of the focus groups was based on the precedent survey with questionnaires and phone interviews. Aim of the focus groups was to question the obtained results and to gain additional information on existing attitudes of consumers. Main questions were whether consumers would adopt smart appliances and which scenarios have to met in order to accept them. 2.2 Selection of participants As smart appliances are in the design phase and subsequently no real experiences with such devices are given, it takes time to introduce the concept. To be able to discuss all relevant questions it was decided to do serial focus groups, to have enough room to introduce the concept and to give participants time between the focus groups to think about the implications. The aim was to get six to eight participants, who would be ready to join two sequent groups. For the selection of participants the following criteria were considered: Gender: 50% male, 50% female Age: Range of different ages Occupation: at least two persons should be housewife/houseman Income: Persons with middle and higher income Living area: the group should consist of persons from urban and rural areas Children: Half of the participants should have children Experience with household appliances: all participants should use household appliances regularly Technical know-how/interest: half of the participants should either be working in a technical area or show a high interest in technologies Environmental attitudes: half of the participants should have strong environmental attitudes and/or engage in environmental behaviour Early adopter: At least on participant should be an early adopter 6
7 Smart-A Summary report focus groups 2.3 Procedure Within the focus groups questions corresponding to the survey and some additional questions were raised. The questions focused on the following issues: User behaviour Aim was to find out whether users would accept changes in their daily routines to be able to use smart appliances. Possible user scenarios for different appliance groups were introduced as follows. Group 1: washing machine, tumble dryer and dish washer. Smart operation option 1: You could adjust your appliance to start after it receives a signal from the energy supplier that cheap and renewable energy is available. It is guaranteed that the process is finished at your desired time. Would you accept this? Smart operation option 2: You receive information via a display on the appliance that for financial or ecological reasons it is favourable to start the operation at a specific time (later) that day. Group 2: refrigerator, deep freezer, electric heated boiler, electric space heating, central heating pump Smart operation option 1: Short breaks will occur, which you will not notice Group 3: Air conditioning Smart operation option 1: Short breaks will occur, which you will not notice Smart operation option 2: You receive information via a display on the appliance that for financial or ecological reasons it is favourable to start the operation at a specific time (later) that day. The following questions were addressed: - Are you ready to accept changes in your daily routines to use appliances in smart operation modes? - Under which conditions would you accept it? Are there any conditions where you wouldn t accept changes? - For how long would a shifting/postponing of the operation be acceptable to you? When is this acceptable? Are there any circumstances when it is not acceptable? - How often (e.g. per month) would you use smart options?
8 Summary report focus groups Smart-A Motivation to buy smart appliances Aim of this section was to find out what are the triggers to buy smart appliances. And whether people who engage in environmental behaviour have a higher readiness to accept smart appliances. To following questions were discussed: - For which reasons would you buy smart appliances? - Would you buy smart appliances because of ecological reasons, even without financial benefits? Control of smart appliances Once the user sets the appliance in smart operation mode, it is operated via external signals by the energy supplier. The question is how many users are willing to let the system operator interfere in the operation of their appliances and how important is it for the users to be able to override the smart operation? - Would you like to be able to override the smart operation, once started? In which situation is this important for you? For which appliances? Monitoring of energy consumption For providing your appliances with cheap and renewable energy your energy supplier might have to monitor your energy consumption constantly. - Would you expect any kind of incentives from the energy supplier? Costs of smart appliances The moderator uses the matrix below to explain that the costs of smart appliances, depending on the type of appliance and the smart operation mode, might be higher than the costs of conventional appliances. 8
9 Smart-A Summary report focus groups Table 1: Costs of smart appliances Appliance Operation mode Operation starts with external signal, but you can set a point in time until the cycle must be finished Information that for financial or ecological reasons operation is favourable at a specific time during the day Short breaks will occur, which you will not notice Appliance group 1 Washing machine EUR 5-25 EUR Tumble dryer EUR 5-25 EUR Dish washer EUR 5-25 EUR Appliance group 2 Air conditioner 5-25 EUR EUR Appliance group 3 Refrigerator Deep freezer Electric heated boiler Electric space heating Central heating pump EUR EUR EUR EUR EUR The following questions were addressed during the discussion: Would you use these appliances in the way described, if a) The cost of the smart appliance is not higher than a comparable appliance (but there is no additional reward for smart operation) b) The cost of the smart appliance is up to xx EUR higher than a comparable appliance (and there is no reward for smart operation) c) The cost of the smart appliance is up to xx EUR higher than a comparable appliance, but in using smart functions together with smart energy tariffs, the additional costs are paid back within 3 years - Would you be ready to use appliances during the night, if you will be rewarded for each cycle in smart mode? Which reward would you expect per cycle (e.g. 10 Cent, 50 Cent )?
10 Summary report focus groups Smart-A Non-monetary benefits Aim was to find out, whether users expect any non-monetary benefits in using smart appliances. - Which benefits do you see for yourself, if you could use smart appliances? - From your point of view, which incentives and/or benefits are required to implement smart appliances? Feedback of benefits The main reason to introduce smart appliances are ecological benefits. This should also be communicated to the users. A possibility would be that the user receives after each smart operation cycle a message on the display. Aim was to discuss which kind of information users want to get and how it should be presented. - Which kind of information would you like to get? - How should the benefits of smart operation be visualised? Inconveniences of smart appliances and possible solutions Aim was to find out which rejections consumers have towards the use of smart appliances (e.g. bad smell, if laundry remains too long in the washing machine, refrigerator quality of food, short breaks in operation might reduce the lifecycle of appliances, noise during night). - Do you see any difficulties or inconveniences regarding the use of smart appliances? - Do you have any ideas how to overcome these hurdles? - Which kind of guarantees for smart appliances should be given? 10
11 Smart-A Summary report focus groups 3 Results of focus groups in Austria 3.1 Selection of participants The selection of possible participants was done with help of a market institution, by direct mailing to a IFZ database and a call via the IFZ website. All together 25 persons who were willing to join the focus groups responded. They were asked to fill in a short online questionnaire and were contacted by phone to check whether their profile corresponds according to the defined selection criteria. With this procedure eight participants were selected for the focus groups. One person did not attend the groups, and another person did not join the second group. For the first focus group seven persons participated, four of them males, three females. For the second focus group four males, two females participated. Table 2: Sample characteristics ID Gender Age Occupation Children Living area Income in Euros Ecological motivation Technical Background/ Technical interest [1] Female Educational sector 3 City Middle Middle [2] Male 50 Engineer 1 City - Middle High [3] Female Office manager 2 City High Middle [4] Female 44 Jobless 0 City High Low [5] Male 51 lawyer 2 City High Low [6] Male 22 student 0 Rural area Less than Middle High [7] Male 41 Psychologist 2 Rural area High High 3.2 Associations of smart domestic appliances The participants mostly agreed that currently appliances are not working in an intelligent way. From their point of view appliances should make housework easier and less time-consuming. They claim not to have any experiences with intelligent functions. One participant thinks that intelligent functions of devices exist, but they are not communicated properly to the users.
12 Summary report focus groups Smart-A 3.3 User behaviour Smart operation mode with internal energy manager Regarding the option that the device is set in a smart operation mode and an internal energy manager regulates the operation process, the consumers were generally in favour of this technological solution and they would also be ready to change their user behaviour accordingly. They would be willing to buy smart appliances when technology is considered mature and experiences are available. One person mentioned that subsidies for the devices would be a precondition to buy it. They would not buy the appliances because of the new technology, but only if their old appliances don t work anymore. Whether they would buy smart appliances also depends on the costs. For a decision they would require cost models which show whether there is a financial benefit in using smart operation or not. Although ecological reason to buy smart appliances are considered important, they are not a sufficient motivator to buy such devices. The consumers are also sceptical that the promised ecological effects can be met. The majority mentioned concerns that they do not want to leave their appliances switched on, when they are not at home. They could imagine to buy the appliances, when they have special security mechanisms to prevent a break down. Further barriers are that additional infrastructure is needed to be able to use the smart appliances, the prices of the appliances and doubts that enough solar energy is available. My question is really, which additional infrastructure is needed for operation of smart appliances? This is most probably required, from my experience this does not mean a huge energy demand, but a certain percentage of additional energy consumption is needed to support the infrastructure. Well, it sounds highly interesting, but I personally do not like to leave an electrical appliance turned on, when I am not at home. For a washing machine, there is a risk. These appliances would need sufficient security mechanisms, so I can be sure, nothing might go wrong. I don t leave my home when an appliance is working. The use of the smart appliances however has some limitations according to the household type. If children are living in the house, the flexibility to wait for operation is limited. However in single or two persons households the flexibility to wait is higher. If consumers are not at home, they do not like that the washing machine has finished the working process and the wet clothes stay in the machine for the whole day and start smelling. The shift of operation would be acceptable within hours, but not within a day. They would prefer if they could both program the starting time and the finishing time of the operation. Especially for the dryer the consumers are not ready to wait with the operation. As washing machine and dryer are used in combination the handling of two smart devices is considered as complex, even when finishing and starting time can be programmed. All together the dryer is considered as not ecological and consumers who don t have the appliance would not be willing to buy a smart one. 12
13 Smart-A Summary report focus groups This is difficult for the dryer, as I told, I have a four persons household, if the weather is bad and you need clothes, then I need the dryer immediately. A smart operation is difficult, although I believe that the dryer in comparison to the other appliances, because it needs a lot of energy, would profit the most from a smart operation. But in real life, at least for me, I would not use it. If I have time to dry the laundry on the line, I wouldn t need a dryer. For the dish washer the flexibility is higher, as the consumers mostly don t care when the machine is working. Also longer time shifts are accepted, if operation is finished within a day. An exception is, if guests are in the house and more dishes as usually are needed. Postponement of start till renewable energy is available The consumers had some difficulties to understand the difference between the previous operation mode and this one, as the implications for the users are similar. In both cases they might have to wait with the operation. In general they preferred this solution, because they can be sure that the appliance uses renewable energy, whereas in the first example it could also happen that conventional electricity has to be used, if the operation has to be finished till a specific time. This mode also gives them a feeling of higher control when they know when the operation will start. As one participant put it: Personally I prefer this option, as it is, at least at the first view, better calculable. If I say, I m in approximately nine hours at home, I like this option better than the other, where the washing starts sometime during the day. The consumers had doubts whether the system will work, as renewable energy is only available to a limited amount: [2] Now a huge amount of people have such appliances, the first who starts [the machine] is the winner, the last one never gets cheap energy. It is not cheaper, because green energy is always more expensive than conventional electricity, this was not mentioned so far. Until renewable energy is available the appliance has a break, now so many want renewable energy, what happens with the other appliances? A shift up to maximum nine hours would be acceptable for most consumers, but also depends on individual habits. Opinions about air conditioning None of the consumers have an air conditioner and they consider it as not ecological and believe that it is not needed regarding the climatic conditions in Austria. They could imagine to use an air conditioner operated with solar energy. A postponement of the operation don t seem acceptable to the persons.
14 Summary report focus groups Smart-A How often would consumers use smart operation mode? In general consumers had some difficulties to estimate how often per month they would use the smart operation mode. For the dish washer they could imagine to use the smart operation mode up to 80% of the time. For the washing machine the percentage would be lower and depends on the individual habits. For the dryer they would not like to use smart operation. Automatic regulation of appliances The participants had doubts that this technological solution is going to work. As many appliances are using night tariffs anyway, the benefits of this solution were not clearly seen. They are also worried how many interruptions will occur during one day. If there is one interruption they would accept it, but not if several interruptions occur during the day. There is also a lot of scepticism that this will help to avoid peak demand and they think that the effort for regulation will be too high to be cost-effective. Regarding refrigerator and deep freezer the consumers are especially sceptical about the smart operation. They worry that food will be damaged because of interruptions and would not accept this kind of operation. Furthermore they have concerns that appliances will have a shorter life cycle because of interruptions, or that appliances need more energy to start operation again after interruption. For appliances like electric boiler and electric space heating interruptions would be acceptable. Two of the participants would buy the appliances, if they can be sure that the technology is working and amortization is guaranteed. 14
15 Smart-A Summary report focus groups 3.4 Motivation to buy smart appliances The consumers would not be ready to buy smart appliances because of the new technology or additional functions. The reason to buy a smart appliance would be, if they need a new appliance anyway. However the price has to be reasonable and they would like to get good information about the savings. First and foremost they would buy smart appliances for financial reasons. Ecological benefits are not a sufficient reason to buy the devices, although some claim they would consider to buy it, if they can be sure of the ecological benefit. They have doubts that the ecological advantage is only used as a sales argument. The main benefit is seen in the fact that the peak demand is reduced, which is not an ecological measure. In general the scepticism is high that smart appliances only lead to benefits for the energy supplier. Comprehensible accountants of costs and benefits are required to convince users. Evaluation of ecological benefits should be done by an independent institution. One consumer mentions that he would buy it for ecological reasons, if additional comfort in comparison to conventional appliances is given. Well, for sure [I would] not [buy a smart appliance] as a substitution of an appliance, which is still working. Only if the old washing machine is broken. If I buy a new one, I consider what is the benefit of the machine, how much does it cost. If I have such an appliance, which operates on different electric circuit models, I would like, firstly the data the energy supplier has, and secondly different other [data] which help me to check, whether it makes sense to press the smart button or not 3.5 Control The users want to have control over the appliances at all times. Even in case of automatic regulation they want to keep control over the appliance. Questions occurred what happens in case of power outage. There has to be a security circuit which makes sure that not all the programmed data is lost. In general they don t want appliances which are too complicated to handle. One participant imagined that many consumers would accept less control, if incentives (e.g. vouchers) would be given as a compensation. Concerns exist that smart appliances are more error-prone than conventional appliances. They don t want to change the whole device, if only one component is broken. One solution could be that a module system is available. Fault repair could also be a service of the energy supplier, who should help with the programming of the device and make sure that the smart mode is working. This would be especially important for older people. I don t want to have an appliance, which is so complicated, I can not operate it. A housewife does not want a video recorder as a washing machine.
16 Summary report focus groups Smart-A I want to keep control, the way I imagine it now there are several possibilities, either there is a huge regulation behind it, because many appliances have a certain cycle and when it is turned off in the middle of the cool down than it is bad for the appliance. I want to be able to control the cycle I don t want the energy supplier to control it. In any case I want some kind of emergency button or something. In general they claimed that they would like to select the smart operation mode every time they use the appliance. 3.6 Monitoring The opinions about monitoring the energy consumption by the energy supplier are very different. Some consumers would not like to have permanent monitoring and are sceptical for which other purpose the data could be (mis)used (e.g. burglar checks if someone is at home). Others do not have a problem with it and even anticipate positive aspects: more security for older people opportunity to regulate own energy consumption, because of feedback better assessment of site-planning for new power stations better accounting of energy consumption All consumers would expect good data protection. The possibility to check ones own data online could be an additional service of the energy supplier. Incentives for the monitoring would not be expected, but they could imagine to get costfree kw. Regarding the amount of financial incentives they have no clear idea how much they would expect. Someone also mentioned that an incentive would be to get informed when the appliance has a malfunction, which would increase security. A problem report could be send via SMS (e.g. door of fridge was not closed properly). A financial incentive is one issue, information if the appliance has a failure would be more attractive. If you maybe travel a lot or if you work and are not at home for many hours per day, then this is a security measure. Instead of individual financial benefits also the promotion of ecological measures (e.g. protection of rain forest) by the energy supplier is seen as an option. One motivator to buy smart appliances could also be, if it would be possible to close nuclear power stations, because of higher use of renewable energies. 16
17 Smart-A Summary report focus groups 3.7 Costs of smart appliances Smart operation mode with internal energy manager, additional costs between Euros The range between Euros was viewed as rather wide and would not be accepted without reward. The acceptance of higher costs depend on the specific appliance one wants to buy. If one buys a rather expensive appliance then willingness is higher to pay 50 Euros more. [6] I think the question is, which kind of appliance one wants to buy. If I buy a washing machine, lets say for 250 Euros, then I would not be ready to pay 50 Euros more, maybe 10 Euros are feasible. But if I say, I buy a washing machine for 1000 Euros, then one does not really have the problem to pay 30/40 Euros more, maybe one can roughly differentiate it this way. If the additional costs are paid back within three years, higher costs would be acceptable. However the consumers are very sceptical about a payback within three years, as consumers have different user behaviour. To convince users a calculation model for the payback time should be provided. Another possibility to convince consumers would be that the energy supplier guarantees that the rewards will be raised together with increase of electricity prices. Yes, the promise of payback within three years is a bit shady for me. Because washing practices are different. I assumed, washing twice per week, and calculated 15 Cent for reward. How should this reward look like, so it works? That is a shady promise, which can not be kept. This means someone who washes everyday I don t know three, four small children and someone in a single household who washes once per week will have different payback times. That s not working. So much can t be rewarded. Important was also whether spare parts can be bought or whether the device as a whole has to be replaced in case it is broken. One idea was that the internal processor should not be integrated in the device but be external, so it can be used for another appliance. Instead of a reward for each smart cycle renewable electricity in general should be provided at a cheaper tariff, similar to already existing night tariffs. Another idea was that those consumers who use smart appliances get a certificate as a symbolic reward. Or if a consumer buys a smart appliance a certain amount of the costs is donated from the appliance manufacturer to subsidy social or ecological activities. To promote the ecological idea in general the energy supplier could provide ecological washing powder or vouchers for ecological products or a kind of Smart-A membership card. To have savings would be convincing for me. If it costs 30 Euros more I wouldn t care whether there is a pay back in three or in four years. The impression that every time I press smart I m saving something, would be enough. The ecological aspect would be most important.
18 Summary report focus groups Smart-A Information via display with additional costs between 5-25 Euros The participants wondered why this solution is cheaper than the first one, as it seems more interactive. In general they would prefer this solution as it gives them more control. They ask for simple technical solutions which are easy to handle. If appliances would cost between 10 to 30 Euros more without additional financial benefits consumers would accept it. Automatic regulation with additional costs between Euros Some consumers didn t like the idea that they have on one hand to give up control and on the other hand have to pay 100 Euros more for the appliances. Also the aspect was mentioned that in sum this would be very expensive as several appliances would need the technology. You get refrigerators for 100 Euros. This would be the double price. Where I see problems: to make sense many appliances need this technology. So it does not stop with 100 Euros, but costs Euros. I don t have a problem regarding control, refrigerator and deep freezer run all the time and I do not control, when the compressor is working and when not this does not disturb me personally. What disturbs me, is that I would have to bear the costs to 100% myself, so the device has the stability to be cut off for minutes from the net. This is more difficult for refrigerator and deep freezer than for the washing machine. I don t like the model regarding the share of costs. I can t imagine that a payback within three years is possible with normal operation. Regarding the refrigerator and deep freezer the concern that food quality will be damaged were mentioned as a barrier to buy smart appliances, especially when higher costs are connected with it. For other appliances such as electrical boiler and electric heating higher costs would be accepted, presuming an amortisation within three years. For the refrigerator and deep freezer this would be too unsafe. I would stand beside it all the time and check the display, so nothing can happen. For other appliances I can imagine it. I do not care when the electric boiler heats up. In this case only the payback time matters, if amortisation within three years is possible, I would accept it. Smart appliance has the same costs as conventional appliances In case smart appliances would not be more expensive than conventional appliances the consumers would buy them for ecological reasons, even without additional financial rewards. However they would only buy them if they can be sure that the technology is working. They would expect guarantees that the device is replaced or repaired, if electronic parts get broken. One problem they view is that they are tied up with one energy supplier, if they have such appliances. On the other hand, people do not switch the energy supplier very often. 18
19 Smart-A Summary report focus groups I would be sceptical when it is newly introduced, if it is working. I would only buy it, if I get a guarantee that it is replaced or repaired, if parts get broken. I would prefer the first option, where you pay more for the appliance, under the condition the payback time is reasonable. If the appliance is subsidized I wonder who is going to press the smart button, if it is only for ecological reasons. The incentive to use the smart operation is for sure higher with a financial reward. Readiness to use appliances during the night Regarding the washing machine, the possibility to use it during night, depends whether people live in a house or a flat. In general noise, the unwillingness to leave laundry for a long time in the machine and concerns about security are barriers to use the device during the night. Regarding dish washer consumers are mostly ready to use it during night. Which kind of financial reward is expected for smart operation? In general consumers had difficulties to answer which amount of reward they would expect. They would prefer a cheaper tariff, instead of a reward for each cycle. Another model would be that the consumer gets a defined reward if buying a smart appliance, similar to mobile phones were the provider takes the costs for the registration fee. Also for each smart operation smart points could be collected and rewarded. 3.8 Non-monetary benefits Non-monetary benefits consumers would expect are in the following areas: Information about faults: In case of a break down of refrigerator or deep freezer consumer is informed by phone or via SMS. Self diagnosis: The appliance gives information about the kind of break down, so user can communicate it to service team. Information about deterioration of material. Possibility to integrate appliance in a smart home. Standardised operation and possibility that different appliances communicate with each other. Feedback about user behaviour, e.g. washing machine warns do you really want to wash your delicates with 90 degrees? or washing machine knows the weather forecast and gives feedback not sensible to wash your laundry now, as it is going to rain and you can not dry it on the line. Possibility to regulate the appliances from outside, e.g. with an digital wristband.
20 Summary report focus groups Smart-A Information to optimise food purchase: e.g. the refrigerator gives recommendation which amount of food is required according to use pattern or gives recommendation about healthy nutrition. User-friendly operation: Especially for older people the operation should be easy, big displays or displays with pictures. Higher security: water stop for washing machine, appliance turns off, if too hot or not used for a longer time period; if TV runs non-stop for a long time period, check whether something happened to inhabitant. 3.9 Feedback In general consumers would be interested to get information about their energy and water consumption, how much CO 2 was saved with the smart operation mode, information on disposal issues (e.g. wastewater). They would prefer to get the feedback directly, via display on the device, because then they can react accordingly. The data should be saved for a longer time period. The online availability of data would also be interesting, but some consumers think it is too time-consuming to check it, as you need passwords etc. A more convenient option would be to check the data on TV (e.g. before watching the news, consumer checks his/her energy consumption) Inconveniences of smart appliances and possible solutions Inconveniencies are viewed with regard to the loss of control - the consumers do not want to be overruled by the appliance. The smart operation mode makes additional decisions necessary while operating the devices which is viewed as inconvenient: Additional decisions are necessary. One knows that people are unhappy when they have 40 different jams to select from in the supermarket. Too many decisions overwhelm them. Freedom of choice is also a burden. Here I have again a decision, I have to take. In case errors occur it would be helpful, if the appliances are based on open source systems, so consumers are not dependent on one specific service company. The whole mechanization leads to the situation, that one does not know what happens in the background. Open systems like open source would be necessary, in such a sensitive area as the household so different experts have the possibility to check the system. 20
21 Smart-A Summary report focus groups Personal support, call centre (with technicians answering the phone), would help to overcome barriers. Also if the installation and handling of the appliance is easy (e.g. appliance itself gives user an introduction). To simplify operation the buttons and symbols for smart operation should be the same for every appliance and also for appliances from different manufacturers. Would special guarantees help to overcome barriers? Instead of special guarantees for the appliances (e.g. against water damage) users would expect a high tech solution which prevents any damages. Even if they get an insurance for the smart appliances they would not operate them when they are not at home, because in case of breakdown the user still has the annoyance.
22 Summary report focus groups Smart-A 4 Results of focus groups in Germany 4.1 Selection of participants Hundred possible participants were chosen from a pool of 500 test persons maintained by Section of Appliance Technology of University of Bonn and contacted by mail. Fifteen persons responded and were then matched against the required quota in a short questionnaire sent by (or by telephone interview in one case). Eight suitable persons were then invited to join the group discussions, but only five of them appeared. A senior citizen missed the date and mother and daughter of a family were suddenly not able attend anymore. Replacement was not available at that time. Thus, both groups had a similar composition of three female and two male test persons. Table 3: Sample characteristics ID Gender Age Occupation Children Living area Income in Euros Ecological motivation Technical Background/ technical interest [1] Female Health sector 0 City Middle Middle [2] Male Office manager 0 City Middle Low [3] Male Office manager 2 City Middle Middle [4] Female Officer manager 2 City High Low [5] Female Kitchen manager 0 City High High 4.2 Associations of smart domestic appliances None of the attendees had a clear picture of intelligent appliances before the introduction was given. Also, nobody claimed to have experience in working with such devices nor to have advanced functions in his devices. However, a big interest in new technology could be observed and one participant asked whether the focused concept is ready for the market. 22
23 Smart-A Summary report focus groups 4.3 User behaviour Smart operation mode with internal energy manager The first mode to ( push the green button ) was clearly favoured over the second (postponed manual start). However, all participants emphasized that smart operation is an option for them, not a must. In everyday situations such an operation would fit well into their patterns of life. The least difficulties were seen in the smart use of the dishwasher and all continuously working devices (fridge, freezer etc.). The washing machine poses a problem, as wet cloth must not remain for longer periods in the machine, and the dryer is used directly afterwards. The dishwasher and the like were not a problem for me, but the laundry... I don't know. Some things don't matter. If towels remain for four hours in the machine, but also there I've made bad experiences if they lie for too long. In the morning and at the weekend it would not matter, too, but during the week it would, because it would remain inside the machine the whole day. And what I absolutely don't like is stand-by, there any advantages would be lost. The group also claimed that the postponement of the dishwasher is more flexible than those of the other appliances. In times of absence, the period of remotely controlled operation is 8 to 10 hours, but not a whole day. Once returned home on workdays the appliances have to be available within short time, which requires that both start and end time can be programmed. If I can set the starting time... I have to think about it. Well, I don't like the laundry lying there for hours. For example, when I come home at 5 or 6 I'd like to give a limited period, not to allow it to begin whenever it wants, but to set a border. Within this border, if it consumes the power, I would not have a problem. Extraordinary situations, however, may require the immediate use of an appliance. Such situations do not occur often, but must not be impaired by inflexible programs. If you need it, it does not matter how much energy is available. I think, if you really need it, you would do it for the three- or fourfold. At weekend one can say I've got time, it does not matter when it runs, it runs when it runs. But during working days your time is limited and these workflows have to function. They have to run when you need them. The devices are meant to enlighten your everyday life, but the way it is now, with a smart button or whatever, it is that you have to adopt to the appliance. That does not make sense. Postponement of start till renewable energy is available As in the Austrian group, the consumers had difficulties in understanding the difference between the previous operation mode and this one, as the implications are similar. This mode was rather denied, as it requires extra interaction. Similar to the Austrian group, the consumers had concerns how the limited renewable energy is distributed and that artificial power consumption peaks are created:
24 Summary report focus groups Smart-A What is for example at noon, the sun shines brightly, the signal comes that renew-able energy is available, and the people start millions of washing machines. How is it controlled? First come, first serve? Or is it distributed evenly? Do I know if I am using renewable energy or is energy supplied from elsewhere, because millions of washing machines are running? Opinions about air conditioning None of the participants had an air conditioner at home. One however would afford one for his bedroom if in future the temperature is rising noticeably due to global warming. He currently used electric heating and would gladly accept any solution which would for instance allow him to power the heating with solar (or other renewable energy). How often would consumers use smart operation mode? At the beginning of the discussion the group was convinced that only a few situations might occur which prevent smart use. Accordingly, the group claimed that they would chose the smart mode very frequently, especially with dishwashers up to 100% and in most cases for the washing machine and the dryer, but in the latter cases the situation also highly depends on the individual and the type of cloth processed. I would consider the dryer only on weekends, dishwashing were changed completely because it does not matter. For the washing machine it would depend on if it works or not. If it worked, I would not have a problem changing it completely, too. Once per week the washing machine, two times the dishwasher. One woman (with the highest ecological attitude) would not let cloth lie soaked in the appliance for hours. It was requested, that the earliest time to start can be set as well, not just the time the machine has to finish its operation.... I would [use] dryer and dishwasher to 100 percent, but not the washing machine. I don't want to leave my things lie around for a long time. Automatic regulation of appliances No concerns were issued regarding the automatic regulation. A high trust in technology could be observed in the group, especially towards those appliances that do not require permanent interaction. As long as a correct service is guaranteed no consumer would care if the smart-story is running. If you can save some money so much the better. 24
25 Smart-A Summary report focus groups 4.4 Motivation to buy smart appliances For all participants the only reason to buy a new appliance is the necessity to replace a broken old one. If this were the case, appliances with smart functions would be chosen with or without compensation, and even at a slightly higher price if amortization is possible within a manageable period. Generally, it was expected that new and/or smart appliances would contribute to energy saving by operating more efficiently than elder devices and thus provide financial benefit over time. Many people say Why should I buy a new appliance, I bought this one two years ago or... basically, my fridge is 19 years old and should be replaced but nevertheless... I know many people... for instance, my mother replaces her machines when it is broken, not earlier. According to the consumers, ecological motivation had influence, but only one would acquire more expensive devices to protect the environment without having personal financial benefits. It was argued that the replacement of an appliance itself is related to additional costs (disposal etc.) and had impact on the environment. The point is... if you replace something, it's effort. You have to care for the disposal or sell it. And the installation etc., it all causes big efforts. The incentive has to be really big to bring oneself to buy a new one. New technology per se was not a factor of motivation, especially the benefit of being notified in absence was questioned. One further concern was the user interface, which would become overly complicated with the introduction of scheduling features. Although the consumers admitted that dealing with user interfaces can be learned over time, they also said that ease of use had a high influence on their buying decisions in the stores. 4.5 Control To transfer control temporarily to the energy provider was generally accepted in the group. Especially for passively operating devices (fridge, boiler, etc.) the smart mode was welcomed without concerns. Appliances which have to be started manually are seen diversely, however. Apart from extraordinary situations which require immediate use (in this case even a higher than usual energy price was accepted) the possible use of the smart mode depends on the user and the appliance type. Although the consumers could not imagine a likely situation where remote cancelling of operation were required, they uttered that such an option should be available. Normally, a once running process is not interrupted.
26 Summary report focus groups Smart-A 4.6 Monitoring Monitoring is generally seen as the price one has to pay to profit for savings from smart functions. The picture of being a transparent user raises concerns, but is accepted under the conditions that the environment benefits as well as the personal finances. The overall attitude was that in times where telephone calls and credit card payments are logged, transmittal over certain household appliance status is a minor impairment. A clause concerning data protection is expected in the contract, and that the data is deleted as soon as not needed anymore (about a half year after invoicing). 4.7 Costs of smart appliances The consumers all agreed that additional costs can only be seen in relation to absolute price of a new appliance, i.e. in percent. For a 1000 Euros washing machine such additional costs are non-relevant, for a 300 Euros model these costs could mean refusal of the model, especially for households which are short on money. Furthermore, a reasonable compensation is expected by the use of the smart modes and amortization within a manageable period (the duration varied from person to person). One problem is that electrical power is hard to grasp from the consumer's point of view. Only few people really understand what kwh means, nor do they really know the current price. Smart operation mode with internal energy manager, additional costs between Euros As mentioned above, the group denied to evaluate the extra costs without having clear prices. Generally a willingness to expend more is present if the possibility to save money in the long term is clearly visible. Information via display with additional costs between 5-25 Euros As the interactive postponement via display was rather denied, this scenario was not discussed. However, the mobile plug with display described below would be appreciated and certainly paid for if long-term amortisation is possible. Automatic regulation with additional costs between Euros One of the participants claimed that the different energy consumption classes cause a difference in yearly costs of 90 Euros, and that an amortisation of 50 Euros extra costs for a smart devices after 3 years is quite few. 26
27 Smart-A Summary report focus groups Smart appliance has the same costs as conventional appliances The group has a lot of trust in all types of appliances and the smart functions. As the smart mode is an option and can be overridden, everybody claimed to choose such an appliance, if the costs are the same as those of conventional appliances. Readiness to use appliances during the night Similar to the Austrian group the German group had concerns about noise during the night. They would not use the washing machine or dryer at night, as well as certain dishwashers (depending on the model and the noise it generates). However, if low noise emission were guaranteed (see above), most would occasionally use their appliances at night. The difference between night tariff and per-use compensation was not clear at the beginning. The group agreed that the payment of a reward for nightly use could not compensate disturbances caused by noise. Having quiet appliances at hand, the amount of 0,25 Euros per use would be a sufficient financial motivation to change to nightly operation. Which kind of financial reward is expected for smart operation? Above all the consumers demanded a clear saving of money visible on yearly invoice due to a lower consumption of energy (by more efficient machines) and lower tariffs (by smart use). Apart from that, various models of reward and motivation were discussed. One possibility to motivate the masses is seen in a premium, be it a payment when a new smart appliance it acquired or an item (e.g. dvd player) on conclusion of the contract. 4.8 Non-monetary benefits The only non-monetary benefit was seen in the contribution to the protection of the environment, and this was uttered by all participants. Two participants also claimed to possess environmentally friendly appliances which cost more than conventional devices, but were also expected to save money over time. Possible benefits deriving from new technology were hardly expected. 4.9 Feedback An overview of consumption is demanded only on the yearly invoice in terms of saved money, saved energy, saved CO 2 equivalent and possible savings at more consequent use of smart operation. The possibility to review current consumption, for instance on the internet, was not attractive.
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