Beecham Research highlights that 26 percent of users have IoT deployments of over 5,000 devices. While 19 percent of deployments contain over 10,000 devices. Despite this, many leaders are still taking a wait-and-see attitude toward IoT.
This is because one of the most difficult conversations that comes with the investing in IoT is:
How is it going to move from reducing costs, towards driving revenue and new business models?
We explore 3 ways mass IoT deployments generate revenue streams that organizations are already leveraging.
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1. Faster Market Access
Previously, if an energy supplier wanted to roll out smart meters globally, they would have to contend with a series of challenges. This could range from juggling different connectivity contracts, to lacking the technical resources to build and integrate a solution. Consequently, relying on professional services to design and manage the solution, taking up valuable time and money.
However, the increasing availability of holistic end-to-end IoT solutions and easily configurable apps alters the playing field. What this means is you can create bespoke solutions without coding or building a solution from scratch. This not only allows you to bring a solution to market much quicker but to scale seamlessly as well.
Additionally, with cellular connectivity, IoT devices can communicate freely when travelling across global networks. Even in areas with limited connectivity or where other types of connectivity like Wi-Fi is not available. This creates new possibilities for you to rapidly expand your services to a wider range of markets.
2. Richer Data for New Opportunities
With the capability to collect and analyze real-time data from connected devices, your IoT deployments can generate actionable data-based insights. These insights help generate revenue by uncovering potential sell, upsell and cross-sell leads. Additionally, enriched data creates numerous opportunities to differentiate your product or solution from competitors.
For example, the ability to develop and sell fully functional autonomous cars and trucks was once infeasible for car manufacturers. However, the widespread adoption of IoT can disrupted this decades-old business model. Autonomous vehicles now have an expected 37 percent CAGR between 2020 and 2030. Motivating companies such as Intel to collaborate with BMW and Mobileye to bring more autonomous fleets to the road.
3. Longer Customer Experience Lifecycle
Imagine as an OEM, having full control in configuring customer solutions, enabling or disabling features as desired? This allows you to sell one product or solution in different ways. You can diversify your offerings with a combination of features to capture and retain a greater share of the market.
For instance, any devices equipped with an eUICC capable SIM gives you over-the-air (OTA) capabilities. Remote updates makes it possible for you to quickly roll out new features, security or data privacy patches to devices without ever having to recall them and interrupt their customers’ lives. Even when customers desire a new capability, they need not go back to the open market to find a new product. You can simply upgrade their existing product or continuously customize it to their needs.
Clearly, turning an IoT solution into money is not necessarily a straightforward process.
Overcoming these complexities of generating revenue and new business models necessitates collaboration and conversation between different stakeholders across the digital ecosystem. You can fully harness these efforts by working with knowledgeable partners to create advanced, secure solutions to suit the organization’s evolving needs.
These are partners who provide holistic yet elastic solutions. What this means is they pay attention to legacy systems as well as current trends to build bespoke components that can easily be decoupled and integrated. This allows organizations to pick best suited elements that are compatible with existing infrastructure and in line with their current aims.
But beyond the product or expertise, your IoT partners should also demonstrate a willingness to offer reliable advice and support over the long-term. Helping to define and deliver on vital organizational goals from implementation to completion, and beyond.
There is no denying that the IoT market is growing fast. By 2030, Mckinzie estimates that it could enable $5.5 trillion to $12.6 trillion in global value.
For IoT to capture value does not require you to be 100% ready, or to build a costly solution from scratch.
Let us help you dispel your lingering concerns and accelerate your IoT journey with us today. Contact us here or read more about our award-winning connectivity solutions across various industries like retail, construction and the supply chain.