The Internet of Things (IoT) is a hot trend that’s undoubtedly changing our lives in many different ways.
To make things simpler, the “thing” is a term used to describe anything that’s connected to the internet, hence turning simple everyday objects into smart devices.
Data from Statista shows that by 2030, it’s expected that there will be over 50 billion connected devices, up more than 100% from 2018.
Another survey from back in 2018 showed that around 35% of the manufacturers in the US are already using some sort of information collected from sensors in their factories, final products, or logistics.
In other words, the Internet of Things is a digitalization trend bound to escalate in the years to come. With this said, let’s have a look at some of the reasons for which it’s considered particularly strong and beneficial for corporations and businesses of all sorts.
Improved Customer Experience
The advantages of the technology not only creates new opportunities, but it also builds upon user experience. Plenty of retail products such as cars would have the ability to calculate variables such as traffic situations, length of trip, and so forth. Ordinary doorbells, if you will, will be able to show you who’s knocking at the door.
Businesses must take advantage and take a look at their offerings to determine whether a pivot to IoT is worth it and in play. Logistic companies, for instance, can use different tracking tags to check if the staff is doing their job properly. Coffee shops could power their customer loyalty systems y enabling the tracking of various drinks and storing reward points – the applications are limitless.
Reduced Cost of Labor
A recent study by the World Economic Forum (WEF) shows that 75 million jobs will be displaced by AI, robotics, and, of course, automation in the next two years. To put it in other words – digitalization is already showing its merits for corporations.
This is a clear opportunity for enterprises to leverage the advantages of the Internet of Things and to anticipate this massive shift in the workforce status quo.
The best thing about this is that it’s equally impactful for both small and big businesses alike. The scale is different, but the principle is the same. VR-based assistants powered by IoT capabilities can easily replace existing solutions, providing an easy solution for daily task management, research, and reminders.
This, in turn, will result in a reduced cost of labor over time. Moreover, the savings are compounded, meaning that businesses will see increased reductions over time that are improving exponentially.
Collect Actionable Information
This one also impacts a lot of different fields ranging from food delivery services, logistics companies, and even research-based facilities.
The benefits of digitalization and the Internet of Things are virtually unlimited when it comes to data collection. Smart sensors can be used by various businesses such as restaurants who can measure the temperature of refrigerated items, farms who can use them for maintaining environmental conditions including humidity, water levels, heat, and so forth.
This information can then be used as data assets to various other companies which can identify the areas of priority. For example, analytics providers can assess the data points of a restaurant to understand what foods are more profitable during certain times of the day.
The IoT benefits for businesses also connect people to the internet using these devices. In theory, people have been surfing the world wide web for decades now and it may seem like an old concept. However, with IoT, individuals can be empowered to be more productive and efficient.
IoT devices benefit the company in a way that improves the efficiency of the workforce in various directions. The first thing that comes to mind in the current global environment is that employees with smartphones and laptops can work remotely – something that saves money increases efficiency and is in line with the global standards for safekeeping during the COVID pandemic.
The different processes are also greatly impacted by IoT devices and the digitalization that comes with it. Repetitive tasks including but not limited to environmental measurements, counting, sorting, and inventory checks, for example, can be easily delegated to smart devices. This will lead to a better and far more accurate job carried out by the dedicated personnel.
The main thing to consider when it comes to the digitalization of businesses is that it can prevent sudden plateaus. In other words – a company might post positive growth for a few consecutive years and then stall.
This plateau could be caused by various factors, but most often than not it’s because the company failed to adapt and implement disruptive technology. This causes it to fall behind.
The anticipation of trends and their further adoption is absolute key for the continuous success of a business. IoT is here and it’s here to stay. Failing to adapt could forestall future success and hamper growth opportunities.
It doesn’t matter if you run a small coffee shop or a large manufacturing facility. Allocating available resources to digitalization can never be wrong.
Internet-connected devices are better than any human can ever be when it comes to certain tasks for the simple fact that they have access to unlimited information.
Taking advantage of this fact can put you in the front rows of the incoming revolution and prevent potential stalls. It’s paramount to at least consider what the benefits of digitalization for your endeavors can be.