Last time when we talked about latest app trends, we briefly pointed out IoT will make our life look like a fantasy movie plot.
And it will defy every business rules.
From smart gloves for a touch less payment to Smart watches that keeps track of your BP; the revolution has already begun and its potential is huge.
Do your business ready to reap it's the benefits? Or do you know how to integrate IoT in your business model?
In this article series, we will try to dive deep and find out those answers for you. As for now, let’s talk about this scope of this opportunity.
IoT( internet of things): What is it?
Imagine, you were about to your office after a hard day’s work, keeping your lights on mistakenly. Suddenly you phone lit up. You received a message reminding you to switch off the lights.
The sender is no human; it is just your “smart light”.
And that smart light is one of the billions of IoTs that are being used worldwide.
These devices can communicate with humans and other machines spontaneously using a network, without getting other devices or human involved in the process.
Internets of things are basically of three types,
How IoT will change the businesses:
- Wearables: ‘Wearables’ are the carriable devices which usually are connected via Bluetooth to a smart phone, and from there to the Internet. Wearables include devices such as smart watches, bands, and devices to help people to live with more awareness---- increasing the wearer’s awareness of how well they sleep, how much they move around, monitoring their vital signs, etc.
- Smart home devices: Smart home devices are connected to the Internet via low power wireless communication and the router. These include all domestic devices, from light switches, thermostats, door locks and automated curtains. Via its WiFi connection to the router, the smart phones also become control devices for Smart Home applications.
- M2M devices: M2M (Machine to Machine) devices are directly connected to the cellular network, such as vehicles that can report their location (in the case of an accident or theft), or vending machines that send messages when their stocks are depleting.
Internet of things will bring a lot of data on the table, much more than what we are used to currently. Smart devices, wearables, and M2M devices; will send the voluminous amount of Big Data over the networks. And Analysis of such data will affect the market in the following ways;
- Product development: IoT revolution will affect the product development in two distinct ways
- The business decision: Analysis of Big Data, obtained from IoTs , will reveal the human behavior pattern and preferences. You will have a clear idea whether your employees are using certain devices or not; if your clients are visiting a certain part of your store or not etc. Based on that information, you can develop effective business strategies that will help you to reduce cost, improve your sales or achieve whichever business goal you want to achieve.
- New products: You can build a new range of smart products like wearable, smart home devices or mobile app for IoTs and start a new business vertical. Google Nest is a perfect example of this.
- Improved product development: By analyzing big data, you can understand customer preference and develop a product for wider acceptance.
The scope of opportunity:
- Forging business alliances: the IoT revolution will inspire a lot of business partnership in near future. A lot of SMEs and MNCs will join hands together for using each other’s resources and breaking into a new industry. IoT industry is still its infancy. So, such new business alliances and Solo SMEs will soon rise as the leaders, pushing even some of the current tech giants behind.
The opportunity with IoT industry is massive. Gartner predicted 30 billion mobile, wearable and other devices will be connected to the network by 2020. And such huge number of IoTs will contribute $1.9 trillion dollars to IT industry.
Moreover, worldwide spending on Internet of Things (IoT) security alone will touch estimated $348 million marks in 2016.
Such a large growth will open the floodgate of opportunities before large enterprises and SMEs.
- High growth opportunities:
IoT is an emerging market. So your business, especially Startup, will have plenty of opportunities to grow and attract potential buyers. There are no clear leaders of the market, so you can create innovative product and set trends.
With estimated 30 million connected devices, IoT is one of the biggest emerging markets. Your business can jump on the wagon by either manufacturing sensor integrated devices, making mobile apps for IoTs or both.
- Increased customer satisfaction:
IoT technology can increase your customer satisfaction and customer loyalty. Whenever your products can interact with them better and you can offer seamless tech support, they will feel better served.
- Enhance your operational efficiency:
Most importantly, the IoTs will help you to boost your operational efficiency. With sensors providing data and with cloud computing performing its own job, smart business processes will take care of themselves, with minimal human or mechanical intervention. Since this will cut down human involvement, chances of human error will also get slimmer.
IoTs will disrupt the rules of the businesses rules and offer a new set of opportunities. In the next article of the series, we will talk about IoT app development.