The once humble home is rapidly becoming a complex network requiring new levels of connectivity.

It is even introducing things that consumers have not had to think about before, such as cyber security.

But who will you call to get it all hooked up and ensure it’s secure?

And, more importantly, who will maintain it and fix it when it crashes?

It’s no secret that retailers are increasingly looking at value-added services to boost profits.

Becoming the ‘digital plumber’ for the home and the small business will allow them to launch an annual subscription model.

It will also win consumer trust as the go-to option for smart home technology, boosting product sales.

This is a long-awaited move, first suggested by Dixons Carphone boss Sebastian James in March last year when he said he saw “getting involved in the full life cycle of connected devices”

This is exactly what the Dixons Carphone joint venture with energy supplier SSE means, as unveiled at the retailer’s interim results earlier this week.

It marks an exciting development for the sector not just in this country, but across the world.

This is a long-awaited move, first suggested by Dixons Carphone boss Sebastian James in March last year when he said he saw “getting involved in the full life cycle of connected devices” as the UK electronics retailer’s “biggest opportunity”.

But there’s a catch

While electricals retailers are pinning their hopes on the Internet of Things (IOT) as the next growth area, there is a rub; so far smart home products, which along with wearables form the bulk of IOT products for consumers, have been bought mainly by early adopters.

A more comprehensive offer is needed from retailers to support customers with the complexity of broadband, smart home and connected objects.

A rival offer

Into this world enter the utility companies – potentially the natural fit to take on the role of digital plumber for the connected home.

In the smart home survey conducted by Context in January 2016, respondents were asked to rank who they would most trust to install smart home products in their home.

Utilities and telecoms scored in the top slots across Europe. In the UK, it was telecoms first, follow by large technology retailers second, and utilities third.

The battle proper will commence in 2017

The challenge for Dixons Carphone and SSE, and all others, is to convince consumers they are the ones to let into their homes.

The opportunity is there. British Gas has proven that this is possible with their sale of the Hive thermostats to their customers.

The battle proper will commence in 2017.

Smaller player Maplin has also established a strong position in smart home, and is developing a service-based model.

Those who offer the simplest execution with exceptional customer service are likely to emerge victorious.

The execution

So far few details have been revealed about how Dixons Carphone’s joint venture with SSE will operate.

The challenge now lies in the execution.

James has already demonstrated that he is capable of executing a difficult merger.

It is notable, however, that the announcement came from Dixons Carphone deputy chief executive Andrew Harrison – the former Carphone Warehouse chief executive.

The companies will also need to find the right people to execute the connected service proposition

For this reason, we expect Harrison to take a strategic role in the implementation.

In order to make it a mutual win-win, there will need to be clarity around client ownership.

SSE has 5.6 million clients and Dixons has a massive installed base of products in people’s houses.

If a service is sold, who will own the client?

The companies will also need to find the right people to execute the connected service proposition.

The skillset is wide and few individuals have both the technical skills – electrical and IT – and the customer relationship skills.

Recruitment and training here will be key.

Adam Simon is global managing director for retail at Context