According to Juniper Research, new data suggests that retailers seeking to capitalize on IoT (Internet of Things) technologies will spend and an estimated $2.5 billion in hardware and installation costs by 2020, a massive increase over the previously estimated $67 million.
Hardware spend includes such technologies as Bluetooth Beacons which enable visibility as well as the ability to push relevant information to consumer smartphones. It also includes RFID (radio frequency ID) tags which aid real-time asset tracking, reduced labor costs, and dynamic pricing according to stock levels and online pricing.
The research, The Internet of Things: Consumer, Industrial & Public Services 2015-2020, found that leading retailers using IoT can capitalize on the opportunity by linking RFID tags, beacons, and connected consumer electronics with software analytics, which enhance customer’s experience.
Lastly, the study found that IoT needs a new security model as the number of connected units is forecast to reach 28.5 billion in 2020. Today’s security focuses on access prevention, however, the IoT security model will need a more robust means of identifying network breaches and if anything is detected, parts of the network can be shut off to prevent attack spread.
IoT ~ Internet of Transformation, is available to download from the Juniper website together with details of the full research and interactive dataset.