IoT connected devices are revolutionizing the business world by providing organizations more insights about their customers.
By embedding sensors on devices, companies can gain valuable and informative insights from IoT devices that will help them drive their business to ahead of the curve.
According to Statista, there will be more than 75 billion Internet of Things (IoT) connected devices in use by 2025. This would be a nearly threefold increase from the IoT installed base in 2019.
Internet of Things (IoT) connected devices installed base worldwide from 2015 to 2025 (in billions) | Source: Statista
Simply put, with IoT, a number of devices, which are capable of communicating with one another, are connected to a network. The devices are capable of gathering and receiving data of different types and from multiple sources. There are numerous IoT applications, ranging from smart refrigerators to smartwatches to fitness trackers, that have already transformed the way we live. Not only individuals like you or me, but also the world of business is gradually identifying the benefits of IoT. IoT is enabling organizations to enter a new phase of digitization, altogether revolutionizing the way they conduct their business. The sensors embedded on IoT devices are capable of collecting large volumes of critical data in real-time. As a result, organizations can gain actionable, accurate, and useful insights from IoT devices, only if the data is analyzed appropriately.
By capitalizing on IoT, companies can obtain insights into their customer base, which will help them know their audience interests, attract new customers, and build a good relationship with them.
Imagine you are a manager in a retail bank and you’re responsible for passing loans. Now, how will you know if your decision regarding a loan application is right or wrong? You will start by examining the applicant’s bank transactions. However, there might be a possibility that the applicant is tricking the bank. Hence, you need a new-age technology that helps you monitor the applicant more rigorously. IoT is one such technology that will help you identify whether the customer is involved in any fraudulent activities or not. IoT devices gather data in real-time on customers and their daily activities. Analyzing the collected data will give you actionable insights on your customers, enabling you to take the right decision. Similarly, if your company is interested in attracting customers for niche services, like wealth management, then IoT can help you in generating the required leads.
Any B2C company that is interested in targeting a bulk of customers can leverage IoT. For example, if you are into marketing and aim to sell your product to a mass audience. Now, finding a large customer base that’s interested in buying your product can be quite challenging. IoT makes this easy for you! By embedding sensors into your products, you can gather critical customer data, which will help you gain insights into their behavioral patterns. For example, you can collect information on ‘how,’ ‘when,’ and ‘where’ your customers are likely to use a product, helping you pitch stronger before them.
No doubt, the data collected from various IoT-connected devices can help companies design more effective and smarter marketing campaigns. But, most of the time the data that’s collected is fragmented. If a company could integrate the data from all the IoT touchpoints, then it is possible for the company to identify new, undiscovered facts about their customers. For example, data from the IoT devices installed with wearables, home furnishings, vehicles, and workplace gadgets can be integrated to paint a holistic picture of customer behavior.
Customers are the real asset of any B2C company. Hence, companies are sincerely finding ways to innovate their services in whichever way possible to retain and expand their customer base. IoT is steering such companies in the right direction by collecting customer data through sensors, allowing companies to obtain actionable insights on their client base altogether.
Naveen is the Founder and CEO of Allerin, a software solutions provider that delivers innovative and agile solutions that enable to automate, inspire and impress. He is a seasoned professional with more than 20 years of experience, with extensive experience in customizing open source products for cost optimizations of large scale IT deployment. He is currently working on Internet of Things solutions with Big Data Analytics. Naveen completed his programming qualifications in various Indian institutes.