Of the 13 industries surveyed, the utility sector emerged as one of the few where the IoT spend will decline slightly in the future.
In 2015, the utility industry spent $67.7 million on IoT technology. By 2020 the average annual spend will fall to $63.3 million. About 30% of the IoT budget is allocated for product monitoring. Utility companies allocated 23% of their 2015 budget for customer monitoring.
Around 50% of the utility companies use IoT to monitor customers. Sensors and devices are used by 44% of the companies to realize energy efficiency in offices and plants. About 41% of the companies use digital sensors to monitor their products.
The top business process improvement from IoT application for utility companies is better customer segmentation. The top improvements utility companies look forward to in 2020 are reduced sales costs and field service costs.
Convincing management teams to think differently about how IoT could affect customers, products, and processes is cited by companies as the most important success factor for IoT projects.