In the five years leading up to 2020, industry analyst Statistica predicts that sales of connected products from U.S. brand manufacturers will rise by 29%. CAGR and household penetration will grow 2.6 times from 2018 through 2022. Likewise, Parks Associates predicts sales of branded connected products will reach 55 million devices in 2020 alone.
Although many manufacturers have experimented with connecting their products through the Internet by providing control and monitoring to users through a smartphone app, very few have scaled their efforts and even fewer have discovered how to monetize these added IoT services.
The reasons for this are many and include:
1) Hardware companies trying to become world class software developers on their own
2) Business leaders not realizing the full scope of transformation required to sell and maintain products that are ‘always on’
3) Not creating enough of an improved user experience to warrant the product being connected in the first place
4) And most of all, not having a profitable, or even sustainable, business model
This situation presents a huge opportunity for service providers and network operators to offer Connected Product Services that provide immediate value to brand manufacturers and the users of their products without requiring those companies to grow-their-own IoT technologies outside of their core businesses.
Much like mature technologies such as email and CRM which are easily procured and integrated from best-of-breed suppliers, carrier-grade IoT services for connected products are now available from Prodea to be sold through operators as a service to their customers who manufacture branded products.
Connected Product Service Offerings for Brand Manufacturers:
- Product Connectivity Service gets a product connected through the Internet to enable other services like those listed below or to deliver valuable user experiences to field personnel and/or end users. Includes ongoing 24/7 management of products that are ‘always on.’
- Product Consumables Service provides notifications, purchase action triggers, and fulfillment triggering with distribution partners to optimize the speed, quantity and profitability of ongoing product consumables: i.e. product refills, replacement filters, etc.
- Product Maintenance Service tracks usage by different parameters and triggers service notifications to end users and/or field personnel. Includes firmware management and over-the-air upgrades with products in the field.
- Product User/Usage Data Service provides real time, point-in-time, or system-wide intelligence on product usage and/or users. Used for decision support by product management, engineering or marketing personnel.
- Product Interoperability Service connects manufacturer’s products to 3rd-party product or service ecosystems using Prodea’s flexible and secure EcoAdaptor framework.
- Carrier-grade reliability proven through launch and management of over one hundred mass-market products across 80 countries
- Highly secure by encoding keys at time of manufacture and not in the field
- Hardware and protocol agnostic – allowing manufacturers to have flexibility when needed to replace hardware component vendors
- Globally compliant for online data management and privacy standards & practices
- Interoperable with popular ecosystems through Prodea’s secure EcoAdaptor framework, creating added product value
- Cost-effective and proven reliable – chosen by the world’s most trusted brands
There are many connected device platforms on the mar-ket, but only one that is optimized for service providers and network operators to resell—and only one that can launch services across multiple vertical markets with full compliance of data and security regulations worldwide: Prodea. Contact us to learn more about how this solution or others in the IoT Service X-Change can drive new revenue, ARPU, & customer retention.
Download the Prodea Connected Product Services Datasheet
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