The future of advertising relies on the Internet of Things

The future of advertising relies on the Internet of Things

The Interactive Advertising Bureau (IAB), in collaboration with Maru VCR&C, recently conducted a survey of 1,200 consumers in the United States concerning web-connected devices, from the latest generation of cars to TVs, smartwatches and glasses. In other words, smart objects connected to the ecosystem of the Internet of Things.

The survey, rather bluntly titled “The Internet of Things”, showed that 62% of the interviewees owns at least one device connected to the IoT and 65% of those who don’t own any are going to buy one soon. Data on advertising is even more interesting:  55% of the interviewees are willing to be served ads in exchange for discounts or exclusive apps, and the percentage reaches 65% among those who already own IoT connected devices. Furthermore, 69% of those whose income is around 100 thousand dollars per year, and 68% of young people aged between 18 and 34, are happy to receive with pop up ads via the IoT.

The IoT has many benefits for advertising: not only can a message related to a product reach a specific and clearly identified target audience, but the message can be designed based on data which makes it more personal and, therefore, more efficient. Indeed, companies which can collect data from the Internet of Things will be able to use the data also to better understand who their customers are and how their products are used. They’ll be able to add new information to the CRM, notify customers about future product upgrades and develop advertising campaigns aimed at increasing customers loyalty. Which means other agents may intervene and develop ad hoc software and applications.

Absolut, for instance, in partnership with Evrythng, a company specializing in the IoT, is trying to design smart bottles which can connect to the net. With a total of over 100 million bottles delivered each year, this is a logical step aimed at keeping in touch with their customers even after purchases have been made.

In the age of the IoT, web-connected devices are the new smart tools that will give advertisers unprecedented access to their users’ daily lives. But there is more to it: the IoT could also help advertisers deliver timely messages and persistently reach consumers. Basically, these devices, which are constantly collecting new data, can help brands act when they need to. For instance, fridges will be able to notify brands when customers run out of mayonnaise or soy milk, and TVs will be able to tell them which TV programs they’re watching… or even when and where they play sport. All in all, we’re talking about information that will be very valuable when it comes to designing successful advertising strategies.

Do you use internet connected devices? And would you like to experience a new kind of advertising designed to suit your tastes and needs? I’d love to hear your thoughts. Tweet me @agostinellialdo.

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