IoT Data: Adding Value to the Connected Product Lifecycle · IoT-Driven Product Lifecycle +...

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IoT Data: Adding Value to the

Connected Product Lifecycle


Stuart Sikes

President

Josh Pederson

Senior Product Manager

Jean-François Martin

Head of Products

Hosted by:


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Agenda-- IoT Data: Adding Value to the Connected Product Lifecycle

Introductions

The connected product landscape

Consumer attitudes toward data sharing

What IoT and data mean to manufacturers and how they are used

Developing a data analytics strategy

Using data throughout the product life cycle

Customer case study

Q&A with Ayla and Mnubo


Smart Home Devices in 20% of Households

12%13%

16%

18%

19% 19%

0%

5%

10%

15%

20%

25%

Q1/2014

(n=7,202, ±1.15%)

Q2/2014

(N=10,000, ±0.98%)

Q3/2014

(N=10,000, ±0.98%)

Q2/2015

(N=10,000, ±0.98%)

Q3/2015

(n=5,010, ±1.38%)

Q4/2015

(N=10,000, ±0.98%)

Smart Home Device Ownership (2014 - 2015)Among All U.S. Broadband Households

"Q2600. Can anything in your home... be turned on/off or controlled using a smartphone, tablet, or computer, or ... send you automated alerts by email, text message, or through a smartphone app, or be monitored from outside your home using a

smartphone, tablet, or computer?"

| Source: Multiple Surveys: American Broadband Households and Their Technologies | © 2016 Parks Associates

% O

wn

ing a

Sm

art

Ho

me

De

vic

e


User data translates into product improvement, differentiation,

and higher revenues

Manufacturer

Product Improvement

• Product Performance

• Feature Enhancement

• Warranty/Support/Service Product Differentiation

• Personalized features

• Deeper engagement

• User experience

Revenue Enhancement

• Increased value

• Up-sell opportunities

• Lower average cost of

customer acquisition

$$$Consumer


Roughly one-half of consumers would permit utility control of appliances in exchange for a

product rebate.

The amount of the rebate notably has no influence on willingness to participate.

46% 45%43%

50% 49%

45% 46%48%

50%

54%

45% 46% 46% 47%

51%

0%

10%

20%

30%

40%

50%

60%

Thermostat Water heater Refrigerator Clothes dryer Dishwasher

Among Smart Thermostat

Owners and Intenders

Among Smart Appliance Owners and Intenders

$50 rebate $100 rebate $150 rebate

"Q7550. Some energy programs provide a rebate or an upfront discount on smart home products, if you allow the utility to control the products during periods when energy demand is high. Would you allow your energy

provider to control the following products in exchange for a incentive rebate?"

| Source: American Broadband Households and Their Technologies Q4 2015 | N=10,000, ±0.98% | © 2016 Parks Associates

% W

illin

g to

Allo

wC

on

tro

llin

g fo

r In

ce

nti

ve

Willingness to Allow Energy Provider to Control Smart Home Products

in Exchange for an Incentive Rebate (Q4/15)Among U.S. Owners or Intenders of Specified Devices Surveyed with Specified Incentive Rebates


29%

50%

21% 20%22%

49%

22% 20%

28%

47%

21%25%

27%

46%

19%

28%

23%

35%

15%

41%

0%

10%

20%

30%

40%

50%

60%

70%

…so the manufacturer can develop better products

…in order to identify and resolve device problems

…in order to easily purchase related products and services

None of the above

Smart watch(n=272, ±5.94%)

Sleep quality monitor(n=134, ±8.47%)

GPS watch(n=342, ±5.3%)

Digital pedometer(n=423, ±4.76%)

Exercise equipment(n=671, ±3.78%)

Willingness to Share Data From Fitness Devices by Fitness Device Owned (Q4/14)Among Respondents Owning Specified Devices

"Q2920(d). Would you share the data from the following devices…

-Fitness trackers, sleep monitors, exercise equipment, and similar fitness devices"


% o

fR

es

po

nd

en

ts

One-third to one-half of connected fitness device owners would share data from these devices

in order to identify and resolve device problems.

Fewer are willing to share data for other potential benefits such as purchasing related products and services or the developm ent of

better products.


24

%

22

%

17

%

38

%

25

%

27

%

23

%

22

%

36

%

21

%25

%

25

%

21

%

35

%

28

%

23

%

21

%

23

%

34

%

23

%28

%

27

%

19

%

34

%

19

%

31

%

25

%

25

% 31

%

10

%

0%

10%

20%

30%

40%

50%

60%

70%

…discounts on related products and services

…discounts on your Internet, TV, mobile phone, or security monitoring service

…discounts on your electricity or gas rates

…discounts on your health insurance

None of the above

Pulse oximeter(n=206, ±6.83%)

Digital weight scale(n=229, ±6.48%)

Sports watch w/ heart rate monitor(n=266, ±6.01%)

Blood pressure cuff(n=240, ±6.33%)

Glucometer(n=134, ±8.47%)

Electronic pill box(n=143, ±8.2%)

Discounts as Incentives to Share Data From Connected Healthcare Devices that Track Vital

Signs by Device Owned (Q4/14)Among Respondents Owning Specified Devices

"Q2925(e). Would you share the data from the following devices in exchange for…

-Blood pressure cuff, weight scale, heart rate monitor, and other devices that track vital signs"


% o

fR

es

po

nd

en

ts

Roughly one-third of those owning a connected health device that tracks vital signs would

share data in exchange for a health insurance discount.

Discounts on other services are less likely to entice sharing.

Data Analytics Strategy in Today’s IoTConnected Device Manufacturers

Josh Pederson -- Sr Product Manager, Ayla Networks

Jean-François Martin -- Head of Products, mnubo

Understanding Connected Products

11

• Internet of Things (IoT) is happening now!

• Connectivity, security, data management and analysis not the core expertise for most manufacturers

• The true value of IoT is in the data: the goal is to provide manufacturers with a feedback loop to learn faster and adapt

Structuring the feedback loop is one more challenge for connected device manufacturers

Copyright © 2016 Ayla Networks & mnubo

What IoT and Data Means to Manufacturers

12

Build Better, Smarter ProductsR&D focus and real-time usage feedback

Improve Operational EfficiencyProactive service, reduce operational costs

Deliver Insights Across the Value ChainDealers, Service Companies, Enterprises, etc.

Boost RevenuesImprove product sales Product upsell and after-market service monetization


Everybody Wants Access to the Data

ANALYTICAL-BASED CUSTOMER PROFILING

MARKETING

CONTEXTUAL, ENRICHED, AUTONOMOUS PRODUCTS

PRODUCT + R&D

DATA-CENTRIC BUSINESS MODELSC-LEVEL

NEW SERVICE OFFERINGS &OPTIMIZED PACKAGES

PRODUCT + SALES

CUSTOMER EXPERIENCE -RETENTION & ENGAGEMENT

SALES & MARKETING

+

LOWER COST OF OPERATIONS

OPS


How Can Manufacturers Set a Strategy?

14

Build Better, Smarter Products

Improve Operational Efficiency

Deliver Insights Across the Value Chain

Boost Revenues

Make Data Meaningful

Product

Sales

Marketing

Ops

C-Level

Make Data Available


Traditional Product Lifecycle

15

Development(get it working to spec)

Field Trials(verify it works to spec | prepare for production)

Production(maintain | identify

improvements)


No feedback loop

Hypothesis-based iteration? Minimal visibility !

IoT-Driven Product Lifecycle + Analytics

16

Development(agile requirements,

building better products)

Field Trials(proactive planning,

deliver the experience)

Production(adapt and focus the

business – marketing, services etc.)

CONTINUOUS IMPROVEMENT & FEEDBACK

DATA-CENTRIC DESIGN & ITERATION

QUALITY EXPERIENCE FEEDBACK


PRODUCT USAGE INSIGHTS

Product Lifecycle: Development

17

Development

QUALITY

Analytics KPIs

• How are the products performing/behaving? • How many faults/errors, when and why?• What data are the products sending and when?• Is the data well structured?• Assess the product performance, any abnormalities?

For Whom?

• Product Management• R&D


Product Lifecycle: Development

18

Development

QUALITY


TROUBLE EVENT ANALYSIS

ANOMALY DETECTION

PRODUCT PERFORMANCE

Product Lifecycle: Field Trials

19

Development(get it working to

spec)

ProductTroubleshooting

Field Trials

EXPERIENCE


Analytics KPIs

• How often is each feature being used?• What features tend to be used by the same users?• Which features are your engaged users using most?• Are there trends/profiles that can be used for

predicting future revenue and usage?

For Whom?

• Product Management• Sales & Marketing

Product Lifecycle: Field Trials

20


spec)


Field Trials

EXPERIENCE


PRODUCT PACKAGE CLUSTERING

Product Lifecycle: Production

21


spec)


Production

FEEDBACK


Analytics KPIs

• How many products are active/inactive, where & why?• When do users disengage with the product?• Track product life states from unconnected states (e.g.

manufactured, shipped, purchased, etc.) to connected states (e.g. registered, activated, operated, etc.)

• Analyze consumption/usage to derive states for warranty/replenishment service

• Deviations from recommended product handling?

For whom?

• C-level• Product Management/Operations• Marketing & Sales

Product Lifecycle: Production

22


spec)Production


FEEDBACK


GEO ANALYSIS

BATTERY LEVELS ACROSS HOMES

PRODUCT DISTRIBUTION & ACTIVITY ANALYSIS

Enriching IoT Data

23

IN-HOUSE DATA FINANCIAL, WARRANTY

BUSINESS SYSTEMS SALESFORCE, SAP

3RD PARTY SERVICES DEMOGRAPHIC, WEATHER FEED


IoT SENSOR DATA

Icontrol Networks - IoT Analytics Case Study - mnubo

24Copyright © 2015 Ayla Networks

- Leading provider of smart home solutions- Broad suite of applications – security, automation, monitoring etc.

• Improve Customer Experience

• Data-driven service offerings

• Improve Operation Efficiency

Summary

25Copyright © 2015 Ayla Networks

• Making data meaningful and available in the organization are key goals of an analytics strategy

• Each phase of the product lifecycle requires specific analytics targeted toward specific groups in the organization

• Account for 3rd party data in strategy to greatly extend meaning of device data

Questions?

Stuart SikesPresident

Josh PedersonSenior Product Manager

Jean-François Martin Head of Products

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Josh PedersonSenior Product Manager

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IoT Data: Adding Value to the Connected Product Lifecycle · IoT-Driven Product Lifecycle +...

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