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How The Internet-of-Things Will Transform Digital Customer Experience

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When you look at news and articles about how technology is changing daily life and marketing strategies, they usually highlight the importance of social media, smartphones and computers. But that is just part of the story. We are surrounded by increasingly intelligent devices and objects able to ‘talk’ to each other. This interconnection is what we call the Internet-of-Things, something you have already seen in action - though you may not have realized it - that is changing the digital customer experience.

Internet-of-Things (IOT), formerly known as machine-to-machine-communication, has become more than a mere interconnection between embedded devices. It is, in fact, a paradigm shift that will change forever the way people interact with objects and customers interact with brands. It all started with small and big household appliances (i.e. smart fridge, smart oven or surveillance device), and that is the reason why the term IOT is often used in connection with home automation.

But the Internet-of-Things has already come out of your house, and domotics is just one of many applications of this technology. Automation in all fields is not a dream anymore. Even today some objects don’t even need active human intervention to work and interact. Just think about services like IFTTT (‘If This Then That’), that simplifies and automates your life online as a plausible substitute for the semantic web that didn't materialize; Nest Labs, that designs and manufactures self-learning and programmable thermostats and smoke detectors; or activity trackers, that wake up when you ‘do not’ do something you should.

The Internet-of-Things will have a major impact on a number of industries. We are facing the birth of the final frontier in connecting users’ entire physical life to the digital world. It is not by coincidence that IOT has been included in Gartner’s list of Top 10 Technology Trends for 2015. Now that we are in the era of mobile:

  • Your customers’ expectations grow.
  • marketing and business models need to change.
  • You can’t ignore the opportunity to connect with your clients in new - and more compelling - ways.

Here are few examples of how IOT will impact your company and require a change in your digital marketing strategy:

  • Big Data: connected devices will create a huge amount of information and you need the ability to translate numbers into strategies. More than ever, you need an integrated platform to make sense of all data and use them beyond CRM. Every single action that you take must be rooted in big data.

  • Customer engagement: the time of powerless consumers in over. In the Age of the Customer, empowered and hyper-connected clients - with people and objects - demand new ways of engagement across all touchpoints and devices. Your content marketing must be tailored and available ‘easy, fast and my own way’.

  • Effortless experience: in a world where people can find whatever they want wherever they are, you need to provide a seamless digital customer experience, specially if you are a retail or e-commerce firm. In the near future, mobile payments will become almost invisible thanks to the communication between objects, and you need to get ready to adopt disruptive technologies like Apple Pay and wearables.

  • Personalized promotions: beacons make the perfect example of how the dynamics of IOT could be used by brands to improve their point of sale experience. As production cost falls, thanks to the automation of factories, brand will focus on the next step of the process: promotion through connections. Push notifications and location-based promotions are just two simple examples of how objects will communicate with customers.

Delivering on the promise of the Internet of Things requires that you get a deeper understanding of your customer and gain insights to offer the best possible experience. But the challenge for brands and products will not change: become more relevant in the mind of your customer in the physical and in the digital world, that eventually will merge into one.

To help you provide a strategic advantage to your organization, Neosperience has crafted the first DCX 7-Steps Checklist, with requirements and insights for a successful digital transformation. Download the free guide here:

 

Download DCX 7-Steps Checklist

Topics: Digital Customer Experience Internet of Things