Internet Of Things (IoT), or internet-connected devices, are quickly becoming mainstream culture. All of us are using them to some extent, and according to the latest stats, the number of IoT devices used in our homes is not negligible.
For leading organisations, the IoT has become a sea of possibilities. Many organisations are already leveraging the widespread use of IoT to provide a superior customer experience.
Financially speaking, McKinsey & Company estimates the economic impact of IoT could be $3.9 trillion to $11.1 trillion per year in 2025.
The Value IoT Brings to the Omnichannel Customer Experience
The real value of IoT is in its ability to collect customer data. Many organisations have used the insights derived from the data to optimise the business, from production floors (robotics and smart machinery) to sales and customer service (cashier-less registry).
And today, with the latest state of IoT, its massive spread, and our modern-day ability to quickly compute large amounts of data—companies can leverage innovation to improve their bottom line. We bring you a few insights into how to do this.
How to Use IoT to Improve Your Bottom Line
There are many ways companies can leverage the data collected from IoT devices. The omnichannel experience can be improved by processing the data collected by devices to enhance the next logical step of the customer’s journey.
Dig into the data
Today, we can find smart devices spread around the household, from analytics-producing smart toothbrushes to the good old robot vacuum cleaners that turn vacuuming into an effortless and automated endeavour.
The data produced from such devices brings loads of opportunities that can be leveraged to connect to related services. For instance, if your smart toothbrush detects extra dental plaque through its sensors, it may signal you to book an appointment with your dentist. The opportunity to improve the omnichannel experience lies in the affiliation to the IoT, as the customer experience gets enhanced with every new seamless automation.
You can see examples of this with Google or Amazon—if you ask Alexa or Google Nest smart speakers to check the available dates for your holiday rental—shortly, you will receive additional messages aligned with your holiday interest, such as weather updates, best places to visit, or the products you’ll need.
Another example is the smart golf club manufacturer—Arccos. The company’s primary product focus is selling golf club sensors that track data produced from the golf game. However, since the product has been tested and adopted, Arccos seized the opportunity to enhance the customer experience across channels. Now golf enthusiasts can enjoy the seamless connected experience from their first golf swing on the course to a complimentary mobile app to a membership program that helps golfers harness the real-time insights and strategies fueled by AI analytics. Talk about the IoT-fused omnichannel customer experience.
Predicting the next step – is the next step. Some enterprises that offer IoT products have managed to use the IoT to enhance the omnichannel experience. Take autonomous vehicles for an example—in this case, your car becomes the device that optimises everything in the customer journey, from driving, repair work or suggesting upgrades based on your previous actions and needs.
A straightforward example of an optimised IoT-powered omnichannel experience is the car manufacturer Tesla—the company holds the highest customer loyalty rate of all car brands. With the development of cloud computing capacity, these types of omnichannel experiences will become more natural, and it won’t be soon until it becomes the norm.
The IoT market is driven by the customer’s welcoming attitude towards such devices. Still, organisations must move steadily and cautiously to design their data management practice to ensure customer data and company reputation are protected.
At a minimum, collecting large amounts of customer data must follow data regulatory practices and be safely stored. Because IoT is such an innovation-driven market, it’s easy to get carried away and forget that the customer experience is a complex undertaking, and keeping a customer-centric mindset is necessitated every step of the way.
Over to you now—where do you think IoT is heading? Have you noticed interesting IoT use cases around you?
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