For Salvador Assa, a 75-year-old man living in São Paulo, Brazil, the most troubling issue for him is not the terrifying spread of the coronavirus, but his advanced age and hearing loss which makes him unaware of people at his door or those trying to call him on the phone.
When his son, Rafael Assa, General Manager at Geonav, realized his father’s struggles he came up with an idea. In addition to getting his father hearing aids, he also installed a smart doorbell for him, with an accompanying phone app, and a smart light. Whenever someone knocks on the door, the light would flash and send a message to his phone. His father no longer missed important visitors or calls, giving him a sense of connectedness, comfort, and security.
【Rafael Assa, General Manager of Geonav (M), and Sergio Miranda, Product Manager of Geonav (R)】
The Smart Home Market Takes Off South America
For most Brazilians, the smart home was not a reality but something out of a science fiction novel. Yet things started to change in 2019. Smart home devices entered thousands of households with Amazon Alexa and Google Assistant now supporting the Portuguese language, as well as the emergence of more and more local smart home brands, such as Geonav.
IoT Sales on the Rise Despite a Global Pandemic
Brazil ranks third in countries most seriously hit by the pandemic, so how can Geonav’s sales increase in such a challenging environment?
This year, though most people are under stay-at-home restrictions and retailers are operating at limited capacity due to the coronavirus, Geonav’s sales of intelligent products has not been affected. Rather, the pandemic has helped people understand the valuable benefits of smart home devices and has exposed consumers to the ease and convenience of buying products online.
【Geonav increased sales of intelligent products in 2020】
Brazil is becoming one of the leading countries for IoT manufacturers. According to Sérgio Miranda, Product Manager at Geonav, the smart home market in Latin America will grow by 26.7% in 2023 to a scale of US$99.5 million. As a populous country in South America, Brazil occupies 45% of the market share.
Early on, smart home products were considered too expensive for the average consumer. The price of smart home devices was three times that of traditional products; some smart devices had a complicated installation process, a high learning curve, and poor after-sales service in the market, leading consumers to shy away from smart home products.
"Now we are witnessing the growth of first-generation smart home products in Brazil. Our market share has been growing since the end of last year,” Sergio said. “Tuya Smart is the leading AI+IoT development platform in Brazil. It is not only used by us, but also by many other brands in Brazil. We feel that the platform is the most powerful and easy to operate for our consumers. With the help of Tuya, the market share of many local IoT brands in Brazil has increased significantly. "
Geonav, whose main business was selling electronic accessories and computers, was already thinking of creating a unified IoT platform but lacked the resources to develop their own system. Instead, they began to sell IoT products as an agent before partnering with Tuya. They discovered that different products needed different control apps, which is very inconvenient for the consumer. They wanted to provide a platform that allows consumers to connect all their devices in a simple, unified way.
By Partnering with Tuya, Geonav Launched HI: A Series of Smart Home Products
With Tuya’s unique, all-in-one offering of cloud + connectivity + app + hardware-free development tools, along with Geonav’s strong brand presence, extensive knowledge of the Brazilian market, and a foothold in more than 80% of mainstream retail sales channels in Brazil, the two companies joined forces creating a partnership in the Brazilian smart home market. Geonav's HI series of smart home products are developed through the Tuya AIoT development platform. Relying on the SOC and MCU development schemes of more than 1,000 Tuya intelligent hardware products, Geonav completed mass production of nine smart products, including infrared remote control, smart bulb, intelligent adapter, and more, in just one year saving at least nine months of development time and associated costs. Geonav also used the Tuya smart App SDK, based on the rich components and sample code, which allowed the development of its own branded app in just a few months. As R&D time and costs are reduced, Geonav can go to market faster and with more competitive pricing.
【Geonav launched HI series of smart home products powered by Tuya in 2019】
“It takes longer to apply for a product certification than for the product development.” Rafael Assa laughs. “We’re a hardware company, we don't have our own software development team, we don't have our own cloud, and it's going to be very difficult if we're going to do it ourselves. So, we were very surprised when we saw the platform solution of Tuya. I think we are very complementary. We have a good marketing team in Brazil and a knowledge of our consumers, which is incomparable to others, and Tuya has a strong technology platform. ‘Powered by Tuya’ devices are very attractive to consumers."
Through cooperation with Tuya, Geonav not only launched its own smart home brand, but also expanded its business, entering into new channels and exploring new business opportunities.
For example, smart hotel and smart retail were not areas that Geonav expected to get involved in until it started its cooperation with Tuya. After launching TOC's smart home products, Geonav also launched smart business solutions targeting local needs in Brazil, such as SaaS for hotels and shopping centers, which is expected to be launched next year. Other products are also being considered, including smart hydropower coal meters that are being jointly developed, which can help enterprises reduce water and electricity costs and improve energy efficiency.
The evolution from a pure consumer electronics brand to an intelligent business provider, helping enterprises with smart enablement and upgrades, is a qualitative change for Geonav.
A year after launching HI, Geonav found that intelligent devices can effectively help another segment of the market, an often-overlooked group: the elderly and people with special needs. Rafael’s journey into smart home automation began by trying to make his father’s life easier, safer, and more comfortable. Daily life can be challenging for people who have mobility, sight, or hearing issues. Smart devices, easy-to-use apps, and voice control can make a huge impact on people’s lives.
“Technology is something that aims at bringing people to a better life. Although we did not expect this result, we are very proud to be able to help them. This is the market we will continue to explore in the future." Rafael Assa said.
If a partnership can help you generate revenue growth, you can call it a successful business venture. But if a partnership helps you not only expand product categories, but also break through existing barriers, allowing people to connect with each other and their physical surroundings, proving security, comfort and convenience, that is a life-changing venture.