Alexa, Say What?! Voice-Enabled Speaker Usage to Grow Nearly 130%

Amazon Commands 70% of the Voice-Enabled Speaker Market

While still in the early stages of adoption, virtual assistants are increasingly becoming a part of everyday life for Americans. According to eMarketer’s first forecast on digital assistant and voice-enabled speaker usage, 35.6 million Americans will use a voice-activated assistant device at least once a month in 2017 – a staggering 128.9% increase from the previous year.

Amazon’s Dominance

Amazon’s Echo speaker leads the voice-enabled speaker market, capturing 70.6% of users. Google Home trails significantly, with a market share of just 23.8%. The remaining 5.6% is divided among smaller competitors, including Lenovo, LG, Harmon Kardon, and Mattel.

While eMarketer anticipates Amazon’s share will decline slightly in the coming years as Google Home gains traction, Amazon is expected to remain the dominant force in the category for the foreseeable future.

“Consumers are becoming increasingly comfortable with the technology, which is driving engagement,” said Martín Utreras, vice president of forecasting at eMarketer. “As prices decrease and functionality improves, more consumers are finding reasons to adopt these devices.”

Broader Virtual Assistant Growth

Beyond standalone speakers, the software powering virtual assistants – such as Amazon’s Alexa, Apple’s Siri, Google Now, and Microsoft’s Cortana – is experiencing significant growth. In 2017, 60.5 million Americans will use a virtual assistant at least once a month, representing 27.5% of smartphone users and nearly one-fifth of the total U.S. population. Usage is projected to grow by 23.1% this year alone.

Demographic Insights

The most frequent users of virtual assistants are individuals aged 25 to 34, accounting for 26.3% of all users. Generationally, millennials are the largest group of adopters, with 33.5% expected to use a virtual assistant in 2017.

“Older millennials are the core users of virtual assistants, driven by their preference for functionality over entertainment,” Utreras explained.

Market Potential

As functionality improves and prices decrease, voice-enabled devices become more attractive to a broader audience. These advancements are expected to drive growth in both the standalone voice-enabled speaker market and the broader virtual assistant ecosystem, solidifying their place in the lives of an increasing number of consumers.