In 2017, there were 8 billion connected devices to the internet globally; by the end of 2020, there will be over 30 billion connected devices to the internet. This exponential increase is powering the phenomena that is The Internet of Things (IoT). IoT leverages network connections that facilitate communication between devices and systems. With all kinds of devices now being able to connect to the internet, IoT provides businesses with untapped opportunities.
New Business Models:
IoT is extremely exciting for businesses because it provides any business with physical products an opportunity to change their entire customer lifecycle. Generally, whether a business is selling household products or anything else, revenue stops once the customer makes the purchase for the product. If you have internet-powered microwaves, coffee machines, etc, customers can have subscription plans, pay for extra features and more; this kind of access to consumers can grow businesses exponentially. The data collected by the internet-powered devices can allow manufacturers to produce better and more powerful products for consumers.
Improved Efficiency:
IoT will help propel automation and machine learning over the next few decades significantly. IoT sensors that are attached to vehicles, packages and cargo will allow businesses to reinvent their supply chains. These advanced sensors that can track changes in light, temperature and more will give developers unprecedented amount of data to optimize logistics. Real-time data on nearly every imaginable inventory items can be utilized to optimize scheduled delivery times and change the future of transportation operations as a whole. This access to real-time data also helps reduce downtime; with IoT, any specific component that leads to a crash or downtime can be located instantly. This will help teams address downtime as soon as it occurs instead of spending hours trying to figure out what went wrong.
Continuous customer engagement:
Consumer products of all kinds like household appliances have recently been able to connect to the internet. This provides consumers with an enhanced experience where they can interact with the products. This type of IoT is also beneficial to business because it provides metrics and data that were not accessible previously. This helps businesses with their support processes, updating products and adding additional features. This type of access to consumers can revolutionize support teams because they’ll be able to proactively help millions of consumers before they get a call.
Additionally, IoT can create a new class of consumer products altogether. Many day to day objects we carry around like wallets and keys can be replaced by a wristband. By having new devices that connect to the internet virtually anywhere, the entire customer experience can be changed. This type of device would have a significant, competitive advantage over previous tools because it can be personalized and updated frequently by companies.