One of the biggest buzz words for this past year was “The Internet of Things” (IoT). This is the convergence of the digital and virtual world with the physical one. Even before IoT, there are already 16B devices attached to the Internet. (Remember, there are only 7B people on the planet.)
Today, an increasing number of wearable and home devices are being integrated to the Internet like Fitbits on the wrists, Nests in the home and crockpots in the kitchen. Oral B even has a toothbrush that is Bluetooth connected to the Internet to track brushing. More recently, Apple unveiled a HealthKit app that allows its iPhone users to track personal health and fitness data. They also announced HomeKit that will allow users to control “smart devices” in their home like garage doors, lights and security cameras. The introduction of the Amazon Echo, an in-home personal assistant will definitely raise the profile of this category.
While Pew Research says IoT’s full implementation is still about 5 to 10 years away, a new study by Gartner predicts that entrepreneurs will drive the growth of IoT in the next five years. So where can small business owners start?
1. Manufacturing at the beginning. Barbara Edson, General Manager of IoT at Microsoft says this sector will lead the way. She believes it will happen through monitoring their equipment performance instantly and securely in real time. This will lead to better service to customers and an increased profit for the company.
2. Analyzing big data. While IoT can be a big advantage in allowing sensors to track business assets, it will help analyze what the data really means and how it fits into the operation of the business. The key is to make the data received intelligent and actionable for a business. Used correctly, it will allow the measuring of key KPIs more easily and objectively.
3. Enhancing the customer experience. With most things being a commodity, the customer experience is the future of marketing and loyalty. A company needs to use IoT to improve the experience for the customer. Intuitive and natural experiences from all devices can help make this happen.
4. Focus on your things. Forget about the hype, Microsoft recommends to focus on IoT that are key to your business. Forget the hype of everything else.
How are you integrating IoT into your business for the future?