Schneider Enters Resi Wiring Devices Market

Schneider Electric is a worldwide leader in wiring devices … just not in the US.  That appears to be changing, especially for the residential market.

According to a press release, Schneider will be introducing its X an XD series of connected wiring devices at the 2021 CEDIA Expo.

The press release states:

“ Schneider Electric will unveil the Square D™ X and XD Series connected wiring devices to the public for the first time during the 2021 CEDIA Expo. This full line of connected light switches, dimmers and outlets will automate the home’s lighting, allow discrete control of power and provide energy usage at the plug level to optimize home energy use.

The X Series is feature-rich, including easy installation, refreshed modern design and smart home compatibility. The XD Series takes this further providing a more premium option with additional design features, a range of colors and a more sophisticated cover plate option that can easily be changed.

As the most sustainable corporation in the world, Schneider Electric recognizes the challenge facing today’s homeowners in balancing the increasing need for residential energy and a desire for modern convenience and modern aesthetics. These sleek devices raise the bar for both with a refreshed design and convenient control from a smartphone or through a smart speaker, like the Amazon Alexa or Google Home, for voice activation”

In the press release there is an offer to interview Schneider’s Director of Strategic Customers and Programs to gain insight into how these products “fit within the company’s overall grid-to-plug strategy increasing home electricity resilience and sustainability.”

Go To Market Strategy

It’s interesting that the product is being branded as Square D as this then infers that it will probably be distributed solely through Schneider / Square D distributors.

Further, since it is a resi item, there will probably be some “packages” offered to large builders where Square D already has relationships to sell their equipment (i.e. special pricing) and hence this may “encourage” targeted distributors to participate in the program and directly conflict with Leviton and Legrand / Pass & Seymour relationships.

Additionally, Square D will want the distributors to promote them to targeted local home builders and/or their resi-oriented contractors who already have a Square D SPA (special pricing relationship.)

It’s doubtful that Schneider will pursue a traditional stocking relationship as the offering is more project-related, but some stock will be required to support local contractors / builders.

Given Graybar’s relationship with Schneider, and assumably they are partnered at a number of national builders, it could be assumed that Graybar will “support” Schneider as Schneider conducts market outreach. Schneider distributors should inquire about how Schneider plans to support the product locally with its sales organization as well as disseminate leads and whom they will partner with at builders (national, regional, and local).

Schneider already has this new offering on its website and states that the XD Series will be available in October.

Product Insights

• The offering is, aesthetically, very contemporary and, according to the website, has many features built in to support “today’s lifestyles” and connects outlets and light switches.
  • Here’s a link to brochures for their X Series and the upcoming XD Series
• Earlier in the year Schneider introduced its Wiser offering. A range of “smart home products”.  In this press release it was mentioned that “Schneider Electric is working with home builders, offering them solutions that focus on the four key areas that enable them to build top-of-the-line homes: providing best in class safety and protection, creating an enhanced lifestyle with connectivity, incorporating AI and machine learning, and embracing modern aesthetics and modular designs.” Which then begs the question to Schneider distributors … “How has this been received by your customers? How well is Schneider supporting the initiative with dedicated, or partial, resources (and since the resi market was scorching hot this year, were they successful)? And “how has it been for you?” (feel free to call with insights as we’re curious.)

When Leviton launched its load center and circuit breaker strategy focused on the residential market, Schneider presumably took this as an affront. Some may recall that Schneider and Leviton had a short-lived strategic partnership (after Schneider sought to acquire Legrand NA). Leviton, assumedly, believes that it can influence “from box to box” and then control devices and lighting (and maybe eventually move into parts of the commercial market since it now has some lighting lines). Many Schneider / Leviton distributors were “caught in the middle” but with Schneider representing multiple times more revenue, it was a non-decision (especially when Schneider let it be known it was grounds for losing the line!) So, Leviton has sought “success” with other relationships, but it must have “woken” up Schneider, a worldwide leader in wiring devices, to say “it’s time to enter the US wiring device market (since they are not going to purchase Legrand, Leviton, Hubbell, Eaton (wouldn’t sell wiring devices to a competitor) and Lutron isn’t for sale.)

A new competitor to the market. It will be interesting to see Schneider’s strategy unfold, its adoption and competitive responses.

If you are a Schneider distributor, who sells some to the resi market (remember, it is only 10-12% of the total electrical distribution market), what’s your reaction?