New research finds retailers adopting IoT are reporting a return of investment and 88% notice increased business efficiency
IoT adoption by retailers is leading to improved customer experience and increased profitability – according to research, including the UAE, conducted by Aruba, a Hewlett Packard Enterprise Company.
Thanks to IoT technology, bricks and mortar stores can compete with online shopping, offer unique, personalised and engaging in-store experiences for consumers. By 2019, 79% of retail organisations will have adopted IoT technology and 77% believe it will transform the industry.
The reality of IoT differs depending on industry. Aruba’s report, IoT Today and Tomorrow, finds some of the most popular connected devices in retail and distribution include: barcode readers, personal mobile devices and smart speakers/TV/sound systems.
The report also discovers:
- IoT is already being used in retail, from monitoring and maintenance (68% of people surveyed said they were using it for this) to location-based services (57%).
- The benefits of IoT include: improved customer experience (reported by 81% of those surveyed); improved visibility across organisations (78% agreed); and increased profitability (said 74%).
- Threats from IoT span malware (41%), spyware (31%) and phishing (25%).
The benefits speak for themselves, but adopting IoT technology is not without security risks. Of the organisations (surveyed by Aruba), who are incorporating IoT into their business, 84% have experienced an IoT-related breach. Over half, report external attacks as a key barrier to the adoption of this technology.
However, IoT technology can be protected and user data can become useful. Aruba ClearPass technology enables wired and wireless access control and its features include attack detection. Retailers can reduce the risk and vulnerabilities associated with IoT technology by using the ClearPass solution to secure their network. User data, captured from consumer interactions in store and online, can help retailers better understand their customers and inform business decisions.
Jon Moger, Senior Director at Aruba, said: “The impact of IoT within the retail sector has huge potential. We are already seeing transformations in retail stores as the realisation of what IoT technology can achieve prompting the standard of the in-store experience – and consumer expectations – to increase.
The benefits of IoT are widely reported, as are the potential security risks. But with the right security solutions, like ClearPass, network access can be controlled and the threat of infiltration, eliminated.”