what use is the internet of things to marketing?

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Anthony J James | Chief Innova3on & Growth Officer, DDB Asia Pacific Republished September 2015 What Use is the Internet of Things to Marke3ng? | Published Aug 24, 2015

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Page 1: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

Page 2: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

Why  does  it  ma-er  that  a  toaster  can  talk  to  the  fridge?    

Why  should  objects  in  your  office  know  where  you  are,  and  when  you  might  need  them?  

They  may  seem  trite,  but  these  are  more  than  just  philosophical  ques3ons.  They  are  the  meat  of  the  

maVer  when  it  comes  to  the  Internet  of  Things  (IoT).  And  as  an  innovator,  I  have  to  have  answers  to  such  ques3ons  from  my  peers  in  the  marke3ng  community,  and  I  need  to  communicate  who  are  

the  leaders  in  the  field.    

Why  Does  It  MaVer?  

Page 3: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

Last  weekend,  one  of  my  challenges  was  addressed  by  a  list  of  the  Top  10  Most  

InnovaCve  Companies  for  the  Internet  of  Things.  Most  marketers  would  know  the  

names  of  the  companies  in  the  mix  –  everyone  from  Microso\  and  Intel,  to  

Salesforce  and  Tesla.  But  there  is  s3ll  a  lot  of  doubt  in  corporate  circles  and  the  

marke3ng  sector  about  the  value  of  the  Internet  of  Things.  There’s  understandable  

concern  about  the  personal  privacy  of  ci3zens,  and  the  possibility  that  the  Internet  

of  Things  might  further  fragment  the  media  landscape,  so  for  marketers,  the  task  of  

aVrac3ng  aVen3on  becomes  harder  than  ever.  

Page 4: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

"But  this  is  key:  the  reason  why  marketers  need  to  embrace  the  Internet  of  Things  is  because  it  makes  marke7ng  simpler.”  

 Anthony  J  James  

Chief  Innova9on  &  Growth  Officer,  DDB  2015  

Page 5: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

In  essence,  the  Internet  of  Things  is  a  collec3ve  term  for  technologies  that  allow  almost  anything  with  a  chip  in  it,  or  a  barcode  on  it,  to  communicate  with  a  network.  And  the  technologies  already  exist.  

There  are  already  devices  that  track  your  loca3on    (mobile  phones)  and  there  are  ‘smart  homes’  and    ‘smart  offices’  that  will  turn  lights  and  hea3ng  on    and  off,  depending  on  where  people  are.  And  there    are  barcode  readers,  QR  code  readers  and  so  on,    that  work  not  just  at  the  checkout  of  your  local    supermarket,  but  at  the  entry  to  your  home,  or    even  your  fridge.  

What  Is  It  Anyway?  

Page 6: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

IMAGE  SOURCE:  ‘Marke3ng  and  the  Internet  of  Things,  closer  than  you  think’,  hVp://chiefmartec.com/2015/06/marke3ng-­‐internet-­‐things-­‐closer-­‐think/  

Page 7: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

So  to  answer  the  first  ques3on  posed  in  this  post,  if  your  toaster  can  talk  to  your  fridge,  it  can  register  how  many  slices  of  bread  have  been  toasted  from  the  loaf  you  normally  keep  in  the  fridge.  And  if  the  fridge  is  connected  to  your  online  shopping  list,  it  can  tell  when  you’re  going  to  need  to  have  a  new  loaf  of  bread  delivered  to  your  house.    Or,  from  a  marketers’  perspec3ve,  it  makes  buying  easier,  by  taking  the  decision  maker  out  of  the  buying  process.  It  automates  the  process,  reducing  the  likelihood  of  the  customer  changing  brands  or  outlets  for  purchasing.    It’s  not  just  convenient  for  the    householder.  It’s  easier  for  the    marketer.  

Page 8: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

The  biggest  issue  that  proponents  of  the  Internet  of  Things  have  had  up  3ll  now  has  been  the  

number  of  devices  that  can  be  linked.  But  since  the  development  of  apps  that  can  read  

barcodes  and  the  increasing  number  of  devices  that  are  shipped  with  network  capability,  

enterprises  in  par3cular  are  taking  advantage  of  the  Internet  of  Things  to  track  resource  use  

and  improve  sustainability  in  the  workplace.  There  are  several  case  studies  of  IoT  devices  now  

being  used  to  make  workplaces  greener,  and  to  reduce  costs  of  opera3on.  And  this  all  goes  to  

answering  the  second  ques3on  at  the  top  of  this  post  –  when  objects  in  your  office  know  

where  you  are  and  when  you  might  need  them,  they  can  be  programmed  to  switch  off,  saving  

power,  and  reducing  the  costs  of  doing  business.  

What  Are  The  Immediate  Opportuni3es?  

Page 9: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

For  marketers,  too,  these  sustainability  ini3a3ves  are  a  great  way  to  prove  the  value  of  IoT  

devices  to  consumers  and  businesses.  Once  customers  are  used  to  the  cost-­‐saving  benefits  of  

connec3ng  devices  at  home  and  at  work,  it  becomes  easier  to  introduce  new  IoT  applica3ons  

for  purchasing.  And  as  data  tracking  from  IoT  devices  improves  and  intelligence  is  collected  

on  prac3ces  and  needs,  there  will  be  improved  capability  to  predict  when  a  customer  may  

need  a  par3cular  product  or  service.  

What  Are  The  Immediate  Opportuni3es?  

Page 10: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

In  short,  marketers  should  be  finding  ways  to  use  IoT  devices  that  can  improve  home  and  

business  efficiency  as  a  means  of  learning  more  about    

consumer  behaviours.  In  an  age  where  aVen3on  is    

so  divided,  it  makes  sense  to  follow  where  aVen3on    

is  being  drawn,  rather  than  trying  to  aVract    

aVen3on.  This  way  marke3ng  messaging  can  be    

focused  en3rely  on  need  fulfilment  rather    

than  trying  to  convert  a  scep3cal  consumer  base.    

What  Are  The  Immediate  Opportuni3es?  

Page 11: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

And  of  course  it’s  not  just  marke3ng    

messaging  that  improves.  From  an  innova3on    

perspec3ve,  IoT  can  be  used  to  iden3fy    

boVlenecks  in  communica3on,  or  opportuni3es  for    

process  op3misa3on.  The  risk  of  innova3on  ini3a3ves  is    

reduced,  because  problems  are  observable,  and  solving  them    

becomes  a  priority.  Again,  because  it’s  a  maVer  of  needs  fulfilment,    

innova3on  and  innova3ve  product  adop3on  becomes  a  simpler    

decision  for  businesses  and  consumers  alike.  

Why  The  IoT  Improves  Innova3on  Efficiency  

Page 12: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

You  can  read  a  hundred  ar3cles  online  that  tell  you  that  the  Internet  of  Things  is  the  next  

stage  in  marke3ng.  But  for  marketers,  focusing  on  the  devices  misses  the  point.  It’s  all  about  

efficiency;  of  data  intelligence,  of  fulfilling  customer  needs,  and  of  customer  acquisi3on.  The  

marke3ng  community  need  to  move  from  considering  the  Internet  of  Things  as  an  intrusive  

and  difficult  content  plajorm  for  messaging,  to  understanding  its  power  as  in  making  

marke3ng  simpler.  

Why  The  IoT  Improves  Innova3on  Efficiency  

Page 13: What Use is the Internet of Things to Marketing?

Anthony  J  James    |    Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific   Republished  September  2015  

What  Use  is  the  Internet  of  Things  to  Marke3ng?      |    Published  Aug  24,  2015      

What  Use  is  the  Internet  of  Things  to  Marke3ng?    Published  by:  

Anthony  J  James  Chief  Innova3on  &  Growth  Officer,  DDB  Asia  Pacific  

originally  published  on  LinkedIn