Our previous article wrote about one of the top strategic trends from the Gartner list - hyper-automation. Now let's have a closer look at another one -the Internet of Behaviors - a "deeper level" of IoT. What value can it create for business? What potential problems can it bring?
The IoB is about aggregation, analysis, and interpretation of data from the IoT devices, aimed at identifying user behavior patterns and exploiting this knowledge to create desired behavioral events. The result of these efforts is the improvement of business outcomes, for instance boosting sales by reaching the right audience and interacting with them effectively. It is the future of product and service design, as well as marketing since it allows personalization to an unprecedented level. How to create the right emotions that will lead an individual to the desired decisions? Data mining and behavioral science have the answer.
The IoB concept appeared as the natural development of IoT: if there is so much data, one must know how to use it to one's advantage. To IoT, the future looks very promising: people want everything "smart"- smart home, smart city, and after all, a smart life, in which everything around us is safe and functions effectively, and there is plenty of time for leisure and creativity.
IoB is an emerging technology, but it is obvious now it can be the new powerful weapon of digital marketers.
Marketing research and user profiling is a complicated thing for many companies unless they are Facebook or Google. The more devices are connected to the Internet, the deeper behavioral insights are. And companies are very likely to offer financial incentives to users who will open the doors to their personal world: habits, lifestyle, preferences, even dreams. The message might be: we will use this knowledge about you to make your life better - offer the most suitable financial products, personalized health advice, help achieve your goals, etc. The key is to find a way to make people trust AI-driven analytics. After all, it's science, based on figures, not speculations.
With IoB, one does not need to construct an ideal user persona. Big data allows a multi-aspect analysis of potential customers. One can make an incredibly detailed map of their customer journey, apply an ultra-personalized approach, and increase the number of interaction points. With this approach, it will also be much easier to sell small-niche products.
People will increasingly interact with devices with voice; it will also shift SEO towards natural language and intent-based search. Behavioral knowledge will help to optimize website content accordingly.
Geographical location, obtained from a user's smartphone, will be even more crucial: the rating of restaurants and beauty salons will also depend on whether the user visits the place again and how long they stay there. Face recognition systems will help to personalize products and offers and build spot-on loyalty programs.
First of all, it's hard to draw a clear line between matching users' needs in the best way possible and manipulation. Secondly, not everyone reads terms of service, and often data is collected without the users' informed consent from personal wearables, in-home voice assistants, cameras, and other connected devices. It gives the sense of being "spied on", which feels creepy. To some extent, it might decrease the rate of IoT technology adoption. Without a doubt, full transparency and legal regulations will help reverse the situation.
Data collection, even if the user agrees to it, may create security threats. Cybercriminals will continue to "hack" into IoT systems and steal financial or sensitive information, for instance, bank account credentials or medical records. The list of crimes connected to security breaches looks daunting: identity fraud, industrial espionage, blackmailing, to name just a few. Companies understand that clients' awareness of adequate cyber protection measures from their side builds trust, and trust leads to loyalty. Only in 2019, 120$ billion was spent on IT security worldwide, and it will remain a huge concern in the years to come.
It will take time for businesses to unlock the full potential of the Internet of Behaviors, and for users to embrace it as a way to get better services and customized products. However, forward-thinking companies are starting to invest in IoT technologies now and develop strategies to win the tough competition for customers' hearts and loyalty with the power of data and psychology.
Over the last decade, the Blackthorn Vision team has implemented many projects based on leading-edge technology, including IoT. With us, it is possible to put into action even the most futuristic idea. We start by validating the future product during the Discovery Phase: analyze how it compares with competitors, whether it is commercially justified, what features can make it a market success, and what technologies allow the shortest road to implementation. The client gets the following deliverables: project architecture with solutions for overcoming technical challenges; wireframes-the demonstration of all user interactions and workflows; a backlog of tasks necessary for the development of Minimum Viable Product - the best way to present an idea to investors or test it with a real audience without much investment. You have business needs, and we create innovative solutions with state-of-the-art tools. Let's get in touch and partner up to create success!