This IDC Retail Insights report evaluates the current and future state of Internet of Things (IoT) technology in retail. Consumer demand for convenience, product availability, and personalized and contextualized interactions will drive retailers to adopt multiple IoT technologies, which beckons a fresh evaluation of IoT opportunities in retail. Consumers expect that within five years, retailers will engage them with personalized and contextualized interactions. In the same time frame, if the retailer hasn't figured out how to improve real-time inventory accuracy to 98% or better, it will struggle to close the online or click-and-collect sale.
The IoT journey, rich in opportunities to enrich customer experiences and relationships, is also full of challenges — the biggest of which is enabling tactical applications sometimes in isolation of a plan for an architecture designed for IoT. IoT requires an event-oriented paradigm, which includes listening, bidirectional messaging, information distribution, and communications over a variety of networks. The architecture for IoT stretches the limits of retail legacy networks.
Leslie Hand, research director, IDC Retail Insights, reports, "The bottom line is, retailers can improve operations, reduce risk and loss, and wow the consumer with IoT-enabled capabilities. The time is now to establish a strategy and develop a road map for IoT. A well-thought-out plan will guide the reduced cost of ownership of IoT technologies and enable continued agility and innovation. "
Broadband, Governance, risk and compliance infrastructure, Internet of things, Market intelligence, Mobility, Networking and connectivity devices, Smartphone, WiFi, WAPI, Wireless LAN infrastructure, Wireless and mobile infrastructure, eCommerce