You’ve surely heard the term “Internet of Things” or IoT, but you might also be scratching your head finding out what it actually means.
It is basically refers to the connection of devices such as smartphones and computers to the internet and recognized by other devices and contribute information to database. Wearable devices, cars, home appliances, lamps, headphones and medical devices can all be connected through the IoT. In short, the IoT describes internet where data is created by things.
According to Gartner, by 2020 there will be more than 26 billion connected devices. Since things grows in the next few years, so this figure is estimated to be much higher, more than 100 billion. More and more devices will be added in the list which also include the connection between people-people, objects-objects and people-objects.
The giant network of connected things – IoT is not only impacting the way we live but also how we perform our routine tasks.
Kevin Ashton, digital innovation expert who is the person who coined the term, defines Internet of Things, ““If we had computers that knew everything there was to know about things—using data they gathered without any help from us—we would be able to track and count everything, and greatly reduce waste, loss and cost. We would know when things needed replacing, repairing or recalling, and whether they were fresh or past their best.”
But how will the IoT impact the business world, what do businesses expect from Internet of Things and how IoT technology will transform business industry in 2017? Let’s dive in…
It’s Just a Start of Connected Things
While some marketers would think that IoT got off to an unsteady start with a less satisfactory rate of acceptance than it was projected. However, many online marketers think that IoT is growing and will continue to grow in 2017 and beyond. It is predicted that 50 billion connected devices by 2020 remains to be seen, but businesses who learn to harness the data created by the
IoT will survive and thrive in the future.
There are a number of products and devices now available due to the IoT technology.
In 2015, there were 78.1 million wearables sold and the market is predicted to grow to 411 million by 2020. The wearable technology such as smartwatches, fitness trackers, VR headsets and much more store a lot of data in them. Brands are in the phase of understanding the possibilities and potential applications for this giant network of devices.
In 2016, the business world seen a remarkable adoption of smart home technologies. Experts believe Amazon sold more Echos (9x more) in the holiday season compared to 2015. So, smart home technologies are expected to be more than important than any other technology in 2017. In a Smart Home Technology survey, 70% of consumers who bought their first smart home device believe they are more likely to purchase more.
It is projected that around 82% of cars will be connected to the internet by the end of 2021. IoT such as diagnostic tools, app integration, navigation and self-driving cars will soon transform the automobile industry in near future. If truth be told, the automobile industry is investing more efforts, energy and heavy budget to discover the next IoT innovation.
Transforming Business World
Since IoT is expected to offer new devices and possibilities for consumers, it will also transform various business processes.
– Inventory Management
Smart devices will ultimately be able to track all inventory data with the help of internet of things.
– Consumer Demands
Customers appreciate smart tools and IoT devices and will begin to expect smart yet personalized behavior in all aspects of their lives. Creating new gadgets, furniture, home appliances and devices to meet the new demands of consumers will offer a new and reliable source of revenue for the entire business world.
– Use Data
The massive data generated from smart devices will help businesses to learn how and what to create and transform for the greater impact.
– Remote Working Opportunities
Internet of things will produce additional remote working opportunities. A task that used to require on-site presence of a person for its competition can also be done with IoT integration.
Since there are a number of IoT innovations and devices that are not secured. In 2016, millions of IoT devices were hacked and used for destructive purposes. IoT manufacturers should pay careful attention to security and users should take every precaution to secure their data stored in their devices.
The Internet of Things is just a beginning. Businesses who are taking the step to develop or expand IoT technology in their services, products and business operations will get a competitive advantage of this technology and grow exponentially.
It’s the right time for digital marketing agencies to understand how they can integrate Internet of Things in their services and what opportunities and challenges they might face as more devices start to join the network of IoT.