8 Reasons: Why IOT Technology is in Huge Demand

  Updated 01 Nov 2023

Transforming Healthcare

Even before its launch, IoT (Internet of Things) technology was making waves. Today, it has made its mark with multiple real-world applications for both industrial and consumer uses. Businesses using IoT technology today have grown to 25% today, from 13% back in 2014. According to McKinsey’s estimates, the total number of connected IoT devices will reach 43 billion in 2023. This is almost a 300% increase from their numbers in 2018.

Businesses can greatly benefit from IoT in more ways than one. Let’s take a look at the advantages of IoT in business enterprises.

Importance of IoT in Business

1. Higher productivity and efficiency

Businesses can accelerate their productivity rates when they understand the needs of their customers better. They can do so by integrating smart devices into their operations and improving efficiency. This way, more work can be done in shorter periods. IoT-based applications and software also help in completing large-scale operations much faster with minimal errors.

2. Inventory management and tracking

IoT can transform how businesses manage and track their inventory. Enterprises dependent on warehousing, storage and manufacturing can automatically track inventory changes using smart analytical devices. This can help in saving time and freeing up personnel for more insightful, challenging and productive tasks.

3. Data sharing is easier and accelerated

Smart devices can track user behavior and provide insightful data. This is one of the foundation stones for business success. With the rise in IoT adoption across enterprises and industries, the processes of collecting and exchanging data have changed completely. IoT devices don’t just generate customer data and insights, but they also record usage behavior and interaction patterns to see how customers engage with each device. Using machine learning, these devices are becoming smarter every year and improving the user experience through customer usage insights. The same data points can be used by a business in many ways as they look at ways to improve business, understand customer needs and relook at their marketing strategies.

4. Easier to work remotely

IoT is the key to unlocking the next level of remote operations. When entire fleets of devices can connect to the same network, employees operating remotely can be more connected virtually while being physically apart. These workers can easily complete daily tasks while working from remote geographies as they remain connected to data centers and devices in a factory or office.

5. Shorter buying decision cycle

IoT technology is poised to transform how customers buy products as it aims to shorten the buying cycle. Through targeted advertising possible with technology, the buying process will be further shortened, helping customers get a more convenient and sped-up delivery service. One example of this is ordering on Amazon Echo and asking for same-day delivery. With a surge in instant gratification demands, businesses will have to explore new ways to meet these instant customer requirements. This means using smart technology that can track customer demands.

6. Generating new customer demands

To increase the consumer base they are reaching, businesses must remember that consumers are soon getting more and more familiar with IoT. This will mean an increased demand for things even they didn’t know they needed. At the pace we are moving currently, we are approaching a time when a smart device will be the general standard for daily appliances, devices and day-to-day items.

To stay ahead of the competition, businesses will need to match the pace of these rising customer demands. Not only that, but they also need to use insights to predict future demands and trends so that when higher efficiency and improved integration is demanded, customers will get exactly what they are looking for.

7. Demand for IoT expertise

With more businesses integrating IoT into their offerings, they will require the skills of IoT experts. Merely implementing IoT technology won’t be enough anymore. As the demand for IoT-based services and solutions increases, more professionals will start learning about IoT and the advancements in technology. Additionally, having data analytics experts and IoT professionals in an organization will be a bonus.

8. Cost reduction

From workplace efficiency to cybersecurity, IoT is making a great impact in industries across the world. The costs of maintenance in any enterprise can be significantly reduced through IoT sensors and devices. It allows equipment to function longer and more efficiently. Real-time office equipment troubleshooting helps identify problems before they have any kind of impact on the operations or employees. It reduces the costs and hassles that large repairs involve. This significantly reduces downtime, ensuring improved services and customer experience.

Most industries, particularly the manufacturing sector, benefit greatly from this cost reduction. One Deloitte study showed that through predictive maintenance alone, downtime reduced by 20-50%. It also increases equipment availability by over 20% and cuts down 10% of maintenance costs overall.

For any manufacturer, such impact is highly desirable. With multiple industries seeing similar benefits, IoT has become a leading technology trend for businesses around the world.

The Rise of the New Industrial Revolution

When the internet was born, it disrupted life as we know it. The evolution of data sharing and access that started there has not stopped since. Today, we generate more data in a single day than there was in all of known history combined. There were also several new needs and markets created that would not have been possible before. We saw this in the form of e-commerce, social platforms, blogging and remote communication.

In the same way, IoT technology has started disrupting how we communicate with each other and machines, as well as how machines communicate with each other. It will impact economic changes significantly and also create new demands and markets like the internet did. The limitless potential, undiscovered applications and lateral growth opportunities that make IoT such a significant technology in the world today.

IoT technology has come a long way in the half-decade since its inception. Every new solution and technology bring with it significant opportunities for market growth. When you partner with a firm that offers IoT-based solutions, choose one with enough market experience and expertise to understand past behaviors and predict future trends.

Table of content
  • – Importance of IoT in Business
  • – The Rise of the New Industrial Revolution
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