As IOT begins to re-instrument the world with smart sensors and other types of internet enabled devices we are going to start seeing a dramatic change in the way that conventional companies start driving new revenue streams in unconventional ways.
When Zip Car began their car sharing program it changed the way people rent cars in urban areas. No rental car agent. No lines to stand in. No problem! Now GM has announced that they are going to challenge Zipcar's car-sharing services in Boston this summer.
GM is a perfect example of a conventional automobile manufacture using IOT to drive new revenues for the companies in a very unconventional way as compared to years past. With this new service GM will rent their cars for $6 to $9 per hour with no annual commitment from their subscribers.
This program has already had thousands of residents of Boston sign up for the short term rental services. This is a starkly unconventional way for a very old and very conventional company to use IOT to drive a new and different type of revenue stream. With this IOT solution of course GM will be able to keep track of where the vehicle is, how it is performing and understand when the vehicle needs an oil change, tune up or is going to have a mechanical failure using predictive analytics. (Source BBJ).
Our team recently met with a global steel rope manufacturing company that makes ropes for elevators, bridges, ships,etc.
This company is looking to drive new revenues for their company by offering monitoring services for elevator companies. This new system would monitor the motor, the car, the brakes, etc. This very conventional company is now looking at using an Industrial IOT solution to drive new revenues in a very unconventional way leveraging their existing experience and relationships in the industry.
Thyssen Krupp an elevator manufacturer began offering monitoring services using an Industrial IOT solution a couple of years back. TEAMService is made up of 5,700 certified technicians in more than 200 locations across the country, all wired into an Industrial IOT system. They have access to the elevators and escalators leveraging the expertise of the engineering team. They are tied into the spare parts inventory and other valuable resources so that ThyssenKrupp Elevator can deliver better service to their customers. This Industrial IOT solution has proven to drive a new revenue stream for the company.
Another company our team met with recently is a global industrial construction company. They traditionally build the structures and then they are onto the next job. This company is now looking at providing remote monitoring for the structures they have built to predict and prevent failure.
This could include monitoring the integrity of the structure itself (which is crucial in earthquake zones) as well as other vital services such as monitoring the HVAC systems and other types of automated applications. This company is looking to leverage their long standing relationships to drive what would be a natural fit to a new division of the company to drive new revenue streams in a very unconventional way for them.
I have several other examples of how conventional companies our team has met with over the past months that are leveraging Industrial IOT solutions to drive new revenue streams or change the way they are doing business in very unconventional ways using Industrial IOT solutions.
Over the coming years the market will continue to see conventional companies to start implementing Industrial IOT solutions to change the way they do business in Unconventional Ways. Can't wait to see what we come up with next!