Massive success for the IoT is on the horizon, but consumers aren’t quite ready to let it happen. Right now, the mobile device and IoT markets are flooded with fast-evolving technologies and choices that have failed to convert shoppers into buyers at the rate experts expected. Here are four of the obstacles stalling the IoT’s forward momentum…
Perceived Value
According to a recent study by Accenture, 62% of consumers believe that IoT devices are simply too expensive. This perception has created a much lower demand for connected devices, despite the fun and convenience of having an automated environment.
Security Concerns
The same study found that 47% of potential IoT users are concerned about privacy and security issues. This apprehension has not only slowed the adoption of such devices, but caused users to abandon some of the connected products they already owned. A large portion of concerned users actually planned to defer their purchases until they felt more comfortable with the security and privacy protocols used by connected devices and the networks they use.
Complexity
Two-thirds of people using IoT devices in the last year experienced difficulty using their new gadgets. Some of the issues users faced include connectivity problems, complicated interfaces, unsuccessful device setups and the devices’ inability to match user expectations. While the percentage of people confronting these difficulties continues to shrink, it remains too high to drive mass adoption of IoT products.
Lack of Standards
According to Nielsen, the average smartphone user was active on almost 27 apps per month by the end of 2013. Because there’s no central command center for IoT devices, each one must be controlled by individual interfaces—usually apps on a handheld device. This means the number of apps users keep on their phones has to grow in relation to the number of connected devices they own. Unfortunately, not all users are willing to crowd their screens for the sake of one benefit.
Industry Adaptation
The industry is eagerly changing to suit consumer needs across the board. During the keynote for the iPhone 7 and iWatch series 2, Apple introduced their latest native app, ‘Home.’ This app creates a control center for all of the HomeKit enabled devices available, which includes automation products from Philips, First Alert, Schlage and many others.
Amazon recently tackled high prices by introducing the second generation Amazon Echo, the Echo Dot, to its online marketplace. This petite device costs $49.99, a whopping $130 less than the introductory Echo, which came in at $179.99. And, of course, the innovation never stops. By 2020, the number of internet-connected devices will reach 50 billion. Despite the slower-than-anticipated launch of the IoT, its advancement will continue to thrill the tech industry, and its consumers, for years to come.
If your company is looking to take part in the IoT, let 7T help you get started. We can help your business pick the best features and functionalities to include in your custom IoT mobile app. In addition to app development, 7T also specializes in custom software development, data governance, and system integrations.
Based in Dallas, 7T maintains regional offices located in Chicago and Houston. Contact us today to schedule your free discovery workshop.
