The Internet of Things offers entirely new ways for interactions between brands and consumers. The world becomes more interconnected than ever before. Сompanies should take advantage of evolving possibilities to improve their marketing and invent new unique ways of earning customers’ loyalty.
At the current stage of development, the IoT is already able to contribute to any part of the classic marketing mix (product, place, price, promotion). Let’s take a look at some fresh and original solutions that are already available on the b2c market.
1. IoT in marketing: The “Product” itself
To date, connected products are not such a big novelty. Although not any product with added connectivity is well received by the public, there are some established, competitive product categories that are definitely “here to stay”, like smart watches or their simplified version – fitness trackers, connected security systems, smart thermostats and robotic vacuum cleaners. Among new and promising product categories we could mention kitchen appliances like smart fridges and all kinds of smart fabrics.
Modern smart fridge concept is a bit different from that famous Internet meme and far more useful:
We can’t wait to wear something from stuff demonstrated in this video!
These socks are definitely not going to disrupt neither socks nor TV industry, but still, it is a very good idea. How can a company prove that it genuinely cares about its customers? We really enjoy the creativity of Netflix product team:
2. IoT in marketing: The “Place”
IoT expands the possibilities for POS advertising by redefining the framework of a “place” where marketing communication is relevant. The product itself could turn into a point of sales with embedded sensors that transfer data showing that you need to replace something or to stock up. Check our previous blog post, where we discussed how the IoT helps companies to boost sales without being tiresome.
And if we look at the “place” category from a different angle, we will also find brilliant cases of IoT utilization. The IoT revolutionizes the way retail delivers shopping experience, turning customer journey into easy and pleasant adventure. Digital signage solutions continue to develop, and now we can see interesting things like this:
3. IoT in marketing: The “Price”
It’s interesting how IoT technologies could change the price of product or service in both directions. You can add more functions to the product and increase its perceived value, and therefore, the price. Or you could offer customers some options to decrease the price, like insurance companies that offer more affordable pricing models to their clients utilising fitness trackers reporting on daily habits of their owners.
4. IoT in marketing: The “Promotion”
With technologies developing towards better security, IoT will significantly simplify interactions between companies and customers. Marketers will have a chance to make decisions based on timing and current consumer environment to make a marketing message more relevant. Due to much more valuable data collected by marketers, their interaction with consumers will be much more reliable.
What about the privacy?
Not every consumer feels THAT jealous about their shopping preferences and similar information. For example, according to the MINDSHARE research, 62% of British customers do not feel any discomfort sharing some personal data in exchange for bonuses.
So, the Internet of Things opens new possibilities to develop unique products, increase level of customers comfort and satisfaction. Companies that incorporate the IoT in their marketing mix will definitely win or keep leadership in their niches.