The Internet of Things (IoT) promises many benefits to telecom service providers and operators, who are naturally eager to connect new devices to their networks and start selling new kinds of services to their subscribers.
But then, reality hits. Making money from the IoT isn’t as simple as it sounds. Service providers’ business models and technology architectures have not evolved to include the ‘things’ of the IoT—nor to monetize the data that all those devices generate.
Ayla Networks and our device virtualization and management platform can help. Here are some ways that service providers and operators can use our IoT platform to monetize their networks:
- Manage all device types. Whether it’s the sheer volume of connected devices—Semico Research predicts 16 billion IoT devices installed worldwide by 2020—or their vast diversity, IoT devices represent a huge challenge for service providers. Fortunately, the Ayla platform can manage them all. The horizontally integrated Ayla IoT platform is agnostic toward device type, data protocol, or application. Whether service providers add smart toothbrushes or smart washing machines to their networks, it’s all the same to Ayla.
- Easily add new revenue streams. The real-world data generated by connected devices can be used to design new revenue-producing services and applications; upsell products and services through bundling and upgrades; and cross-sell complementary services from third parties. With the Ayla platform in place, service providers can focus on creating value-added features and vertical applications rather than the ‘plumbing’ that makes it all happen.
- Minimize support costs. Through IoT data, service providers can gain unprecedented visibility into the real-world use and performance of their networks’ connected devices, as well as the subscribers using them. They can transform this visibility into lower support costs by monitoring device use and diagnosing issues remotely; arming call centers with specific diagnostic and customer usage information; reducing truck rolls; making necessary truck rolls more efficient; and moving from reactive to proactive maintenance.
- Reduce customer churn. Service providers can use IoT data to keep existing customers happier and less likely to leave. They can improve their support levels, design more engaging customer interactions, create ‘stickier’ products, and adopt a proactive approach to customer retention by recognizing what triggers churn—and when.
- Increase customer satisfaction. Providing better support can go a long way toward improving customer satisfaction—an area that service providers typically need to enhance. Tapping into IoT data can enable service providers to be smarter about the support they provide, working toward predictive and even pre-emptive support. IoT data can also enable service providers to boost overall satisfaction by delivering products and services that add real value.
- Speed time to market with new products and services. While service providers are experts in connectivity, it takes enormous additional commitments of time, people, and resources to create, manage, and support IoT products and services. Building their own IoT infrastructure makes no sense. Allowing the Ayla platform to handle the IoT aspects of their offerings means that service providers can concentrate their expertise and resources on creating value-added products and services for both existing and new customers.
- Offer more effective marketing campaigns. Knowing exactly how customers use their products and services enables service providers to design marketing campaigns aimed at particular segments of the market. They can also personalize marketing offers, such as new warranty services based on actual customer usage. Service providers can do real-time testing of their marketing campaigns, adjusting them instantly based on what’s working and what isn’t.
Ayla provides the missing pieces for service provider network monetization of IoT: device virtualization, device management, and application enablement. In a real sense, Ayla can provide service providers and operators with an operating system for the IoT.
See more details on how service providers can use IoT to monetize their networks, including examples for particular use cases.