The economy may be slowing down significantly, but the global picture of IoT is heating up.
America may be heading for a recession this year. It is not slowing down the growth in the global Internet of Things (IoT) services market.
It is expected to grow from $163.7 billion in 2021 to $188.8 billion in 2022 at a compound annual growth rate (CAGR) of 15.3%, According to Reportlinker.com. The market is expected to reach $340.61 billion in 2026 with a CAGR of 15.9%.
The researchers believe that’s because businesses have resumed operations and adapted after COVID-19, which had previously led to “restrictive containment measures involving social distancing, remote work and business closures that resulted in operational challenges.
The IoT services market includes professional and managed services such as:
- Network administration
- Data management platforms
- IoT technology deployment
After all, something has to drive these consumer-loved devices that power customers’ home, car, TV and other digital experiences. As CMSWire continues to cover IoT and customer experience in our topic of the month, here are more facts and ideas to digest.
Common IoT Use Cases
According to IoT analyticsThe 10 most used IoT use cases are:
- Remote asset monitoring
- IoT-based process automation
- Remote monitoring and control of assets
- Vehicle fleet management
- location tracking
- IoT for asset/plant performance optimization
- IoT-based quality control and management
- IoT-based condition monitoring of goods in transit
- Predictive Maintenance
- Track and trace on site
Note: That research did not consider industry-specific use cases, such as smart heating, ventilation, and air conditioning (HVAC, applicable only to buildings) or intelligent transportation systems (applicable to cities). It did not take note of consumer IoT use cases such as smart home devices or wearable devices.
By dealing directly with consumers, IoT is powering things like:
- Remote patient monitoring devices
- smart phones
- Smart Watches
- property technology
- cyber security centers
- home security
- connected cameras
- Pet-Related IoT Technology
- vehicle telematics
- Smart Points of Sale
“I believe that with IoT, companies can significantly improve the online customer experience,” said Radhika Gupta, founder of 365 solutions. “IoT provides businesses with access to real-time information and data, helping them better serve potential customers. Because companies have access to customer areas of interest, they can forge a personalized mode of communication with the customer, helping them develop an emotional bond with the business and thus increasing business opportunities.”
IoT also helps provide customers with a secure shopping experience, which is a game changer in current times with data leaks and fraud on the rise, according to Gupta.
He sees the automotive industry continuing to adapt, providing customers with an omnichannel shopping experience, using digital content (videos, articles, product descriptions, or virtual tours) and leveraging AR and VR. It will have a significant impact on overall purchase decisions and brand perception, he adds.
Related Article: Why Ignoring IoT-Enabled Customer Experiences Could Cost You
IoT wins in CX, Automotive
Where else are CX professionals finding success in the world of IoT?
Eliana Levine, director of marketing and co-founder of SearchPeopleEasy, said companies are driving customer engagement with the help of AR, VR and AI, backed by big data and machine learning. IoT enables contactless practices with contactless service, contactless elevator operation, self-diagnosing speakers, smart asthma inhalers, and personalized customer experiences.
“With virtual test drives, 360-degree interior views and exterior tours, the auto industry has revolutionized the concept of test driving without driving a vehicle,” he said. “Furthermore, when Metaverse’s immersive technology is applied in business, it will revolutionize every aspect of an organization, including the customer experience.”
Related article: How IoT, Automotive and SmartTV are changing the digital customer experience
Customers want more out-of-the-box customization
Sean Nguyen, director of the internet advisor, said that IoT is one of the main technologies that are driving change when it comes to digital CX. These technologies have the ability to collect extremely valuable data about customers at various stages of their lives, which means that brands can use this data to not only deliver highly personalized experiences, but also deliver these personalized experiences just when one more customer you want them.
“Customers want brands to be aware of their needs,” Nguyen said. “They don’t want to have to wait two weeks for a brand to realize what a new trend is or what they might want because their algorithm took so long to detect it or their team took so long to implement the changes. There is a sense of immediacy that has been brought about by the Internet and the digital world.
“If customers can immediately get answers to their questions by searching for them, they should be able to immediately get experiences from brands based on how they use apps, search for products, etc. IoT technology is the gateway to which brands can deliver this experience and enhance the future of digital CX.”