IoT products need a design that focuses on user experience, not one that crams a bunch of features into a single device. These electronics should serve a particular need, not all of them. The success of IoT products depends on how it will benefit consumers in ways that other products don’t, rather than simply dazzle them with new features.

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Designing IoT
products for
success
© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.

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Designing IoT Products For Success
© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
If the recent unveiling of the iPhone 7 has shown anything, it's that people go crazy over
the latest technological innovation. The removal of the headphone jack brought praise,
criticism and more than a few jokes. Meanwhile, some couldn't help but wonder: Is this
change the first step toward an innovative, industry-wide change or a gimmick designed
catch the eye of consumers? Will an iPhone with a missing headphone jack benefit
consumers or quickly bore them?
Like the latest iPhone, new products in the world of the Internet of Things attempt to
innovate the way people interact with their electronics, using a mix of technology and
creativity to design devices that haven't been seen before. Yet, one might wonder
whether these new products aren't simply progress for progress's sake. This idea is what
drives Beko, a Turkish electronics and appliance company, in its product creation. In a
recent conversation with marketing news source The Drum, Ogzu Bayram, Beko's digital
marketing manager, said he and his company believe relying on novelty would bring
about the downfall of the IoT world. Instead, businesses should focus on creating devices
that truly suit people's needs.
What's most interesting is that Beko doesn't rely on what it thinks its customers want.
Instead, it asks them outright and uses their feedback in development.

3. 3© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
The Harvard Business Review agreed with this idea, stating
that most failed IoT businesses didn't succeed because they
ignored the needs of their markets and instead focused on
selling tech for tech's sake. One such company, Revolv, was
so focused on introducing new devices that it never made
sure its products actually helped customers.
"Most failed IoT
businesses ignored
the needs of their
customers."
Designing products with purpose in mind
What Beko and similar companies should do is design IoT products for a particular use,
not to cash in on a fad. Not everyone has the resources to survey their customers want
directly, but they can make the most of current opportunities to create something that
fulfills an existing need.
One market currently available to IoT companies is the business sector. In fact, many
industry experts predict businesses, not consumers, will be the primary adopters of IoT
technology over the coming years. Business Insider identified three key ways IoT
products can potentially help these companies: by helping them expand into new
markets, reducing operating costs and increasing productivity.
"Beko are inviting families to help co-create their future appliances through feedback and
pretesting, which will ensure their relevance and meaning," Bayram explained to the
marketing company.

4. 4© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
IoT companies can take this idea a step further by creating products specifically suited
for small businesses. These organizations know the IoT can and will offer benefits –
Business Insider cited an AVG survey which found 57 percent of small businesses
believe the IoT will help their bottom line. Yet, because small businesses don't have the
resources of larger corporations, they may perceive barriers to adopting the technology.
One such barrier is cost. New tech is always expensive, and
smaller enterprises don't have large, flexible budgets. IoT
providers can help reduce this burden by using a
subscription business model that incorporates the cost of
building and operating devices into agreeable monthly
payments.
"A subscription
business model helps
reduce the cost of IoT
products."
This way, tech providers receive the funds they need to continue service and store data
while small businesses have an easier time paying for IoT technology.
In addition, IoT products need a design that focuses on user experience, not one that
crams a bunch of features into a single device. These electronics should serve a
particular need, not all of them. Adding too many features is overwhelming for users – in
this case, small-business owners who have a lot on their plate already and often can't be
bothered with a confusing set of instructions.
A customer-focused approach is what will catapult the IoT into the mainstream, not rapid
development. Companies within the industry can certainly take advantage of new
technology to provide to consumers, but they shouldn't sacrifice function in the process.

5. 5© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.
About the Author: Kevin Cancilla
Kevin Cancilla is Sr. Director of Marketing at Vindicia. He is
responsible for corporate communications, outbound product
marketing, demand generation, sales enablement, website and
content development, and partner marketing. Kevin is an
industry veteran with over 20 years experience in strategic
marketing and product management for enterprise software
companies such as STEALTHbits Technologies, Tripwire,
Epicor, Netcentives, Calico Commerce, Baan, and Adobe
Systems. He holds a BSBM degree in Marketing and Business
Management from the University of Phoenix.
Visit our Blog for more information.

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© 2015 Vindicia, Inc. All rights reserved. Vindicia Confidential.