As we know that IoT (Internet of Things) is nothing but a wide network of smart devices working together to collect and analyze data, and then autonomously perform actions using that data. This number of connected smart devices is growing at an alarming rate – from 18 billion devices (in 2015) to a staggering high of 50 billion by 2020.
IoT is growing at a tremendous speed, making its global market value to surpass its current 1 trillion US dollar mark. Now, IoT has moved into the realm of mainstream businesses across several industries. This is to say that the IoT technology is not merely used for automating business processes, but is used in such a way that it is deeply transforming industries and creating new revenue streams.
How IoT is likely to impact future businesses
IoT will leverage Artificial Intelligence (AI), blockchain and Fog computing
IoT is the not kind of technology that can bring transformation by itself, it has to leverage with other technologies to bring about that transformation. And three technologies that soon to be converged with IoT are: Artificial Intelligence (AI), fog computing and blockchain.
Enterprises are hopeful of bringing out the desired transformation using these technologies. For example, AI and Machine Learning (ML) can enable deeper analysis of real-time data delivered by IoT.
Fog computing along with IoT can help in addressing pressing issues like bandwidth, reliability, latency, and cost. While blockchain – if its security is sturdy as they claim to be – can eliminate intermediaries and provide secure communication between IoT devices.
IoT may sweep the retail space
The new mantra among today retailers ‘is to integrate different types of shopping technologies under one roof’ to fulfil consumer demands. In other words, to a offer a true Omni-channel experience for consumers.
Experts believe that IoT has all the hallmarks to help retailers deliver true omni-channel experiences to their consumers. Merging of Physical and digital is one way of doing it. Amazon Go is a fine example, where customers have to just scan their smartphone with the Go app at the Go retail store, purchase, and then walk out without standing in the que to pay. The amount is automatically deducted from your account.
IoT offer several other possibilities, like sending personalized coupon notifications just when customers enter a shopping mall, informing buyers about the exact locations of the specific products they are looking for, or businesses gaining the ability to look at micro level of their data. These are just the tip of the iceberg. It is believed that the real potential of IoT in retail space is still being unearthed.
The future of IoT in hospitality
IoT applications are highly customizable. Considering this nature, and its ability to get deep insights in data, hospitality industry is figuring ways to incorporate IoT into their business functionality to bring out valuable outcomes. Hospitality is one of the industries where customer experience is considered prime. IoT not only automates a process, it can, coupled with AI or ML, act as a virtual assistant for visitors and staff; it can offer personalized customer experience to visitors, provide real-time automation and tracking of staff and business information – resulting in reduced hotel expenditure, help analyze and standardize services, and also to sync well with other gadgets.
IoT may no longer remain as a stranger technology to the hospitality industry. Since it has all the hallmarks to be a key player for a long-term success, it is expected not to take too long in disrupting the hospitality industry.
Helping to streamline Airlines
Airlines industry is one of the most complex industries in the world. It relies heavily on data, from flights schedules to passenger manifests to vehicle and equipment to retail and kiosks. It’s a tremendous of amount of data that gets exchanged everyday.
IoT have started to play a crucial role in the industry. With IoT, experts say that they can blend operational data with enterprise data, which can enable them to detect and avert missteps.
Retail outlets and kiosks at the terminal can measure precise wait times through heat maps and work around a plan to reduce those wait times and make it stressless.
IoT, blockchain and Machine Learning will be common in future airports. Sensor capabilities and real-time analytics are helping people behind behind-the-screen airline staff to analyze data at a micro level for better decision making.
Two real-world examples
An European-based tool manufacturer, specialized in selling and renting expensive industrial drill machines, has implemented IoT technology to offer a unique, result-focused solution to their customers. As opposed to the customary method of charging for the drilling machines itself, the company charges for every outcome the drill machines has produced. In other words, they are charging per hole drilled within a particular time frame. Everytime a hole is drilled, the chuck size, time taken for each drill, and other relevant information is relayed back to manufacturer in real-time. With the help of IoT the company is providing outcome-based service instead of product-based service.
The second example concerns with an American manufacture aiming to help taxi companies. Though the concept is in the testing phase, the company (using IoT) aims to capture and monitor information like engine performance, wear and tear, driver data, fluid levels and many other information in real-time and pass it over to maintenance centre. The whole idea is to alert and avert unexpected problems that generally occurs while managing a fleet of cars. This method, compared to the existing taxi companies, is believed to push the service, maintenance, risk management to an entirely new level.
IoT technology that is not yet to impact our daily lives. It has already, and the impact will be much deeper in the coming years. An Indian survey says that over 60 percent of startups are either related to, or somewhere in line of IoT. The technology, after having connecting smartphones, computers and laptops, is moving ahead in its driven duty to turn home appliances and industries to be better connected and smarter. By and large, in the coming years, the influence of IoT on modern industries looks – if not so imposing or impactful – quiet imminent.