Retailers aim to use IoT technology to complete a sale — when, where, and how the customer desires. Some brick and mortar stores use the IoT to keep checkout lines as short as possible.
In 2015, retailers will spend a modest sum of $41.8 million on IoT. The budget is expected to increase to $49.1 million in 2018. The IoT budget in retail is almost evenly distributed among the four core business areas: product monitoring, premises monitoring, customer monitoring, and supply chain monitoring.
56% retailers are using the IoT to monitor supply chain and product flow. Almost half of the retail companies use mobile apps to monitor customer data, while 27.9% track data through sensors.
Retailers believe that the top most effect of IoT technology with regard to business improvements has been on supply chain processes. IoT helps companies shift inventory to other locations even while it’s in their supply chains. The technology is also used by retailers to improve customer segmentation and customize marketing campaigns and products.
The most important IoT success factor for retailers is the ability to identify and pursue new business and revenue opportunities. Getting employees to change their views on customers, products, and processes, and making huge changes in the marketing, sales, and service processes are some of the other success factors.