Digital Strategies to Leverage IoT

Subbu RamanathanMilwaukee, WI, USA

International Conference on Digital Marketing

Trichy, India

February 2015

Internet of Things (IoT)

Network connecting

wired/wireless devices (things)

which allow automatic

provisioning, management and

monitoring

An Example

Electronic fork

Alerts when eating too fast

Eating pace data collected

Data uploaded to online dashboard

Data used to improve eating habits

IoT Significance for 2015

In Gartner’s Top 10 strategic

technology trends

IDC’s Top 10 technology

predictions

The Projected Growth

Revenue Potential

Cisco forecasts the

economic value created by

IoT to be

$19 TRILLION

in the year 2020

Digital Marketing Enablers

Data from sources specific to target audience

Better accuracy of needs assessment

Real-time assessment of needs

Predictive analytics

Digital Marketing Opportunities

More devices to market through

Better targeting of marketing efforts

Advertising relevant & beneficial to customer

Brand consolidation and cross-selling

Advertising Options

If you want to play in this space as an advertiser,

you’ll need to invest in one-off partnerships, or

create your own connected device ecosystem

The Customer Experience

Age of interruptive commercials come to an end

Target marketing with IoT data can provide better customer

experience

Beacons

Low-cost hardware

Small enough to attach to

a wall or countertop

Use battery-friendly, low-

energy Bluetooth

connections to transmit

messages or prompts

directly to a smartphone

or tablet

Creating Your Own Ecosystem - Case Study

London’s Regent Street - a big Beacon experiment

Regent Street mobile app

App captures users interests/preferences

80% of 130 stores have beacons

Coupons, Campaigns & more

6% Click-Through Rate (CTR)

More Beacon Opportunities for Retailers

Partnership – Case Study

AtYourService – an eCommerce and engagement offering that connects

drivers with retailers and merchants on their drive

Partnership – Case Study

Nest – Smart thermostats & smart smoke/CO detectors

Products that can learn from data they collect

Remote control/Remote notification

“Works with Nest”

Potential uses of data collected –

Insurance companies

Creating Your Own Ecosystem – Case Study

Nike Fuelband & Nike+

Since Fuelband launch, Nike+ signups have increased

TV & print advertising digital marketing

“Nike+ FuelBand” “@NikeFuel”

Creating Your Own Ecosystem – Case Study

Daimler Trucks North America

Sensors and software detect abnormalities in its trucks

Automatic alerts to company’s call center that work is required

Redirect drivers to local dealers stocked with replacement parts

Predictive

Maintenance

A Different Approach

Think about customer value first

Access to customer data depends on value provided in exchange

Think about the data first

Think about actions based on the data, second

Stop making ads

Design services that create consumer value

Considerations

Honor privacy while providing personalization

Few IoT standards

Messy data for the foreseeable future

Marketers will need partners to provide the

connection, maintenance and innovation layers that they

are not equipped to handle.