This document discusses strategies for leveraging the Internet of Things (IoT) for digital marketing. It provides examples of how connected devices can collect user data to improve products and target advertising. The growth of IoT is projected to create $19 trillion in economic value by 2020. Marketers can use IoT data to better understand customer needs and provide personalized, relevant advertising. The document also discusses creating connected device ecosystems and partnerships to play in the IoT space and provides case studies of companies that have successfully done so.
Gen AI in Business - Global Trends Report 2024.pdf
Digital strategies leverage IoT growth
1. Digital Strategies to Leverage IoT
Subbu Ramanathan
Milwaukee, WI, USA
International Conference on Digital Marketing
Trichy, India
February 2015
2. Internet of Things (IoT)
Network connecting
wired/wireless devices (things)
which allow automatic
provisioning, management and
monitoring
3. An Example
Electronic fork
Alerts when eating too fast
Eating pace data collected
Data uploaded to online dashboard
Data used to improve eating habits
4. IoT Significance for 2015
In Gartner’s Top 10 strategic
technology trends
IDC’s Top 10 technology
predictions
7. Digital Marketing Enablers
Data from sources specific to target audience
Better accuracy of needs assessment
Real-time assessment of needs
Predictive analytics
8. Digital Marketing Opportunities
More devices to market through
Better targeting of marketing efforts
Advertising relevant & beneficial to customer
Brand consolidation and cross-selling
9. 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
10. The Customer Experience
Age of interruptive commercials come to an end
Target marketing with IoT data can provide better customer
experience
11. 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
12. 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)
14. Partnership – Case Study
AtYourService – an eCommerce and engagement offering that connects
drivers with retailers and merchants on their drive
15. 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
16. Creating Your Own Ecosystem – Case Study
Nike Fuelband & Nike+
Since Fuelband launch, Nike+ signups have increased
TV & print advertising digital marketing
“Nike+ FuelBand” “@NikeFuel”
17. 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
18. 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
19. 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.
Editor's Notes
There are “things” that simply transmit pre-programmed data, there are “things” that transmit data about what they are able to sense and there are “things” that can autonomously respond to changes in their environment.
Gartner is the world's leading information technology research and advisory company. Each year, Gartner compiles a list of the top technology trends that have the potential to affect individuals, businesses and IT organizations during the next three years. Gartner's 2015 top 10 strategic technology trends are the prime enablers behind new digital business opportunities.
International Data Corporation (IDC) is the premier global provider of market intelligence, advisory services, and events for the information technology, telecommunications and consumer technology markets. IDC predicted the invention of more intelligent and connected “things” in 2015.
Yes, there is a finite number of things – at least big things – that might be computerized. But, by IDC’s count, that number is already approaching 200 billion.
User login using their social media accts will allow you access to their social data that can be leveraged to drive your brand experience and marketing campaigns forward
Regent Street is one of the major shopping streets in the West End of London
OnStar previewed AtYourService at the recent 2015 Consumer Electronics Show (CES). This new technology will be imbedded in select GM car models and allow communication through GPS, Wi-Fi and other security features to deliver driver real-time promotional offers. The goal is to provide drivers relevant promotions based on where they are traveling. So far, GM has partnered with several large brands, including Dunkin Donuts and the popular coupon site RetailMeNot.com.
Digital coupon providers RetailMeNot and Entertainment Book will supply retail and shopping coupons.
Parkopedia will serve data for parking nationwide
When a driver requests directions to a point of interest that has an applicable deal or connection to one of its partners, the OnStar advisor can send the special offer from that merchant.
Works with Nest
Mercedes. Tells Nest you’re on your way. So you’re comfortable as soon as you get home.
Dropcam. See what’s going on when your smoke alarm goes off.
Jawbone. It wakes you up. And your thermostat.
Another big market Google can wedge itself into that takes even better advantage of Nest’s place in the home is with insurance companies.
The Nest Protect, the company’s smoke detector, will be able to tell Google unequivocally when there has been a home fire or a carbon monoxide leak, even when the home owner does not report it. A Nest thermostat could tell when the heat breaks, and by extension, when the pipes freeze or when the power goes out. This is all information that insurance companies would love to get their hands on.
The Nike FuelBand is a new and innovative way to track an individual’s daily physical activity. Whether its walking, running, or jumping this digital wristband has the capability to calculate every step taken and every calorie burned.
The data on the Nike FuelBand can be linked to a computer, smartphone or iPod. Here, users can set exercise goals and monitor progress since purchasing the band. The application also holds a social media feature where users can share their recent exercise activity, such as new personal bests and workout streaks, to their friends and family through Facebook or Twitter.
By tying customer fitness routines to its brand, the company provides a consistent, Nike powered experience from start to finish by letting users track their daily exercise and set fitness goals. Nike also bridged the fuelband experience with its apparel line by installing a vending machine in the middle of NY stocked with Nike goods. Used social media channels to drop hints about exact location and purpose of this vending machine. Fuelband owners who locate the machine can redeem Fuelband points for Nike socks/shirts/hats/… This facilitates a holistic experience that spans mediums and puts Nike at the center
User login using their social media accts will allow you access to their social data that can be leveraged to drive your brand experience and marketing campaigns forward
Who do you know who wants to have their workout interrupted by an ad to save money on a recovery shake? Instead of trying to sell someone a recovery shake, try analyzing their data to provide them with information that will help optimize their workouts. The consumer will gladly trade this benefit for a recovery shake later. And this experience will do way more to bring the promise of the brand to life for the consumer.
While things will get better over time, for the foreseeable future, this data will be messy and constantly changing.
Today, there are very few IoT data standards, although there’s a fundamental ethos around interoperability and connectivity. Marketers will need partners to provide the connection, maintenance and innovation layers that they are not equipped to handle. If I’m a tire dealer, I need a partner who will maintain connections to every new manufacturer’s proprietary data, for instance.