The “Internet of Things” , IoT, is one of the most discussed trends today, affecting virtually any industry.It enables us to personalize, customize and remote-control virtually any aspect of our lives. This presentation aims to explore: what is IoT? where is the trend headed? How can industries such as hospitality, financial services and insurance, automotive, and others, use IoT? What is the added value for the consumer?

1. The Internet of Things
Hamutal Schieber | May 2015

2. Introduction
• The “Internet of Things” , IoT, is one of the most discussed trends today,
affecting virtually any industry.
• The main reason for IoT being a game-changer, is that it enables us to
personalize, customize and remote-control virtually any aspect of our
lives: our home atmosphere and temperature, our driving, our shopping, our
workouts, our cooking, our locks and much more.
• This presentation aims to explore:
– what is IoT?
– where is the trend headed?
– How can industries such as hospitality, financial services and insurance,
automotive, and others, use IoT?
– What is the added value for the consumer?

3. What is “The Internet of Things”?
The Internet of Things, or IoT, is a network of networks of uniquely identifiable endpoints
(“things”), that communicate without human interaction, using IP connectivity. (IDC, 2014)
• This helpful infographic by
Goldman Sachs presents
the fields that were most
affected by IoT as of
September, 2014.
• Yet, as the company stated
just a few months ago,
“personal lives, workplace
productivity and
consumption will all change”.
And indeed, new connected-
product launches are paving
the way for a new reality of
shopping, consumption and
interaction.

4. Main IoT Areas
• From wearable technology to cars, connected devices can assist in monitoring,
and solving, chronical health and/or safety issues.
• Target populations include:
– General population – the monitoring of personal wellness is entering mainstream, with
wearable technology such as smart watches enabling the users to track, analyze and share
statistics such as fitness performance, heart rate, calorie expenditure, etc..
– Seniors & Patients – chronic conditions such as diabetes, high blood pressure, heart
problems and kidney problems, as well as Alzheimer, can be tracked and shared via wifi.
The care taker will be able to receive alerts whenever something goes wrong. The risk, of
course, is that such devices can be hacked – or produce “false negatives”.
– Children & Family – connected devices can locate each family member (including pets),
and provide means of communication with young children and toddlers.

5. Market Size
2.9
13
2
12
2015 2020
Industry Forecast – Connected Devices (Billion)
Source: Gartner, Nov. 2014
# Connected Devices - Consumer (billion) # Connected Devices - Industry (billion)

6. Market Size | By Category

7. Market Trends
• According to Capgemini
Consulting Analysis
(2014), IoT is maturing
from merely providing
basic Information
Support, to Remote
Operability Support, and
from there to
Performance
Improvement Support.
• According to Schieber
Research analysis, the
next stage in IoT will be
consumer centricity –
from “things” to “user
benefits”.
* Source: Capgemini Consulting

8. Consumer Benefits and Barriers
• For the IoT trend to actually develop, there must be tangible consumer benefits. In a survey by
Nielsen's Affinnova group, just over 40% of U.S. adults said that the smart products they've seen so
far seem like gimmicks, and 59% said they need real value to spend money on a smart product.
• According to a recent survey by Bluetooth Special Interest Group, much depends on whether brands
can meet consumers' expectations about simplicity and cost-effectiveness while also allaying their
concerns about data security. Currently, 67% of consumers are concerned that some smart home
devices would make their data vulnerable.
• The ability to customize each device according to one’s
lifestyle is a major engine for today’s consumer
Control &
Personalization
• Faster, time saving solutionsConvenience
• Energy saving (less electricity)Money Saving
• Safety
• Health monitoring and reporting
Health & Wellness
• Energy savingEnvironment

9. Consumer Benefits | Hospitality
• According to Hospa, “the hospitality industry should
aim to benefit from the IoT as it is on the forefront of
utilising it to enhance the guest experience and
increase operational efficiency.”
• Upon arrival, check-in can be automated with
cameras detecting the customer. Then, adjustments
can be made to room temperature, ambience, music
and other aspects, according to the time of day and
the customer’s previous stay.
• Connected mini-bars can auto-charge when a product
is removed, alert the need for refills, and store the
data on the clients so that stock is tailored to their
needs the next time they are staying with the chain.
• According to a Tnooz report, the Internet of Things
enables vacation rentals to be remotely managed:
thermostats, door locks, a pool or Jacuzzi, and guest
check-in and check-out are all controllable by
smartphone.
Source: Hospa, 2014

10. Consumer Benefits | Hospitality
• Aria MGM City Center Hotel Las Vegas: The hotel’s 4,300 guest rooms contain 70,000 ZigBee-enabled
devices that seamlessly and wirelessly give guests full control of all in-room systems.
• One remote sets the systems in the room to personal preferences, including: lighting, temp., tv/ video /
music, wake-uo scenes and drapes.

11. Consumer Benefits | Automotive
• A Capgemini Report (Dec. 2013) has
found that safety is the most important
added value for consumers in
connected cars.
• Skully: a smart motorcycle helmet which helps
eliminate blindspots using cameras and heads-
up display.

12. Consumer Benefits | Insurance
• Personalization is a game-changer for the insurance industry, and connectivity allows just
that:
– Auto - the insurance company can receive driving data in order to tailor the most suitable
premium offer, or send scheduled maintenance reminders.
– Property – connecting the property to send alerts in case of a problem can lead to lower
costs of insurance
– Health – fitness tracking and health data can tell the insurer whether or not the client
performed the recommended amount of exercise, etc..

13. Consumer Benefits | Financial Services
• A report by Accenture suggests that the IoT will turn banking into a holistic experience:
clients will be able to receive updates in real time, from various connected devices which will
require money expenditure (such as energy consuming appliances). This will enable the
customer to prepare or take a required action.
• Banking Tech claims that a handful of banks have chosen to participate in wearable tech
trials and adapting their apps for smart watches.

14. Consumer Benefits | Home Automation
• The connected home has the
potential to assist in controlling every
aspect of daily life. For instance:
– Cameras: cameras which send a
photo of the person entering the
house, cameras which send a
photo of the dish as it cooks…
– Appliance: washing machines,
coffee makers, slow cookers,
refrigerators and ovens – all
controllable via smartphone
– Ambience: Thermostats, lighting –
all controllable via smartphone
Smart Home – illustration by Motley Fool

15. Competitive Landscape
* Picture: Various Internet of Things
Devices, sold by Apple.com
• Leading electrical and electronics manufacturers
have already entered the IoT field, as well as other
major players such as Google (with the purchase
of smart thermostat company Nest) and Apple
(with its HomeKit platform and collaborations such
as HoneyWell).

16. Competitive Landscape | Collaborations
• A 2014 Capgemini Report
surveys the aims of
partnerships formed around
“Internet of Things”. The graph
demonstrates the high
importance of collaborations in
this sphere.
* Source: Capgemini Consulting

17. Competitive Landscape | Examples
• Nest (Google)
• SmartThings (Samsung)
• HoneyWell (in collaboration with Apple)

18. Competitive Landscape | Examples
• Hue (Phillips)
• Withings
• Wemo (Belkin)

19. Home Automation | Examples
• Alarm.com connects all of the key devices in your
home, giving you smart, responsive automation
and seamless control, soon to be Apple-Watch
compatible
• Philips launched Hue lights – aimed at creating an
atmosphere around the house. The interface
allows you to select the lights you want to control,
and adjust the settings with a simple gesture.

20. Home Automation | Examples
• Amazon recently announced the launch of the Dash Button: a physical wi-fi connected button that
enables re-ordering of certain food & non-food products from Amazon.

21. Appliance | Examples
• Electrolux oven has a camera to capture
cooking creations. The new oven is linked to an
app with a community, where consumers can
connect with others to share kitchen
experiences.
* Source: Digital Trends
• Philips launched Saeco
GranBaristo Avanti: each drink can
be tailor made to your and your
guests' taste and brewed via your
tablet.

22. Wearables | Examples
• Garmin launched Connect, a platform which
syncs the Garmin device data into an online
platform, in order to enable tracking, sharing,
analysis, etc.
• The devices connects to an online community
created specifically for Garmin devices.
 Fitbit tracks every part of your day - including
activity, exercise, food, weight and sleep – “to help
you find your fit, and stay motivated”

23. Wearables | Examples
• The Nike+ Fuelband app works with FuelBand, a
connected bracelet.
• T.Jacket: allows parents to give remote
hugs via pressuring sensors that are
activated by a mobile app.

24. Wellness | Examples
• Toymail – a range of talking toys which
allows parents and kids to stay in touch.
• Mother by Sen.se is a monitoring system
for home and family, monitoring the
location of family members around the
house and their various activities.

25. Wellness | Examples
• The Postcapes website features dozens of examples for the
presence of IoT in our lives, including our bodies, homes, cities,
industries, and the environment.
• Examples include devices such as mimobaby - monitoring baby
movements, beclose – monitoring seniors, etc.

26. To Sum THINGS Up…
• The Internet of Things offers great personalization, socialization, and control
to consumers, with the potential to enhance convenience, wellness, energy
savings and other important aspects of daily life.
• For the trend to become mainstream, consumers must be persuaded that
security and privacy issues are well-handled by the company.

27. Thank You
The research was conducted by:
Hamutal Schieber
Schieber Research | Market Research & Competitive Intelligence
www.researchci.com | hamutal@researchci.com
Executive Summary. For the full research - please contact
Carmelon Digital Marketing
http://www.carmelon-digital.com