Harvesting value in IoT is not all that easy. The traditional business models have usually not been equipped to make or monetize the tremendous amounts of data that comes from a device or a sensor. So when a business wants to get into IoT, it needs to make sure that it has some core capabilities...
In addition to the six basic patterns described in an earlier post, three advanced patterns that are more specialized patterns of the basic ones are described in this post. Multi-Customer Interaction: In this pattern, multiple users interact with a single thing and business. In this situation, it is important to keep the interaction stateless between the interactions....
When the industry talks about IoT, it does seem like there is only a singular pattern that is applicable across all industries and consumer segments. The reality is that there are multiple IoT patterns that need to be considered when devising solutions or creating value. In fact, this may be one of the main problems...
Despite all the hoopla about IoT, monetization has not been easy. Companies are still discovering how to make money off of this latest phenomenon. Currently, monetization models exist (as described in the previous post) and new ones are being developed. However, quite a few challenges need to be overcome before enterprises view this as a...
While monetization models are evolving with increased sophistication, today most of them can be grouped into primarily six categories: Device Operations: One of the older monetization models for IoT is in device operability. The earliest implementations of IoT were basic in that it mostly provided for remote operation and maintenance of devices. When the industry...
Gordon Hui (HBR, 2014) discusses the shift of the value mindset due to IoT. He makes a distinction between Value Creation and Value Capture. He refers to value creation as those activities that increase the value of a company’s offering and encourage customer’s willingness to pay. Value capture, according to him, is simply the monetization...
Sometime in 1949, the bar code was invented which set the ball rolling for machine-reading capabilities. ARPANET was used to send the first electronic message in 1969. In 1973, the patent for RFID was awarded. 1974 marked the beginnings of what we know is the core backbone of internet communication; TCP/IP. Universal Product Codes (UPC)...