IOT and the Retail Marketplace: Bringing IOT, Wearables, and

Smart Devices to Retail

Jeff BaltzAmp Consulting

• Introduction• IOT Definition – Real vs Retail• Retail Landscape• Retailer Structure & Process• Working with Retailers• IOT, Smart Devices, and Wearables• Conclusion / Case Study

Agenda

AMP Consulting

AMP TeamThis team is Amp Consulting, and we have expertise in consumer electronics that has resulted in…• The #1 Bluetooth speaker and #2 portable charging line in the market.• The successful launch of myCharge and its growth from 0-$30mm in 3 years.• The growth of Sharper Image branded electronics from 0-$70MM in 1 year.• The growth of HMDX (consumer electronics line) to $50mm in 5 years.• Launch of the Vysk EP1- the first phone case with built-in privacy features - with a major retailer.• The cumulative creation and selling of consumer electronics in excess of $1 billion total sales.• Extensive relationships at every major U.S. retailer including Walmart, Target, Best Buy, Costco, Apple,

Amazon, AT&T, Verizon, and others.• Twenty-year relationships with the top CE factories in China, resulting in the securing of favorable

terms and exclusive technology partnerships.

• “Real” vs. “Retail”• IOT, Smart Devices, and Wearables

IOT Defined

• Why Brick & Mortar Retail Matters

Retail Landscape

Amazon vs. Walmart

• Why Brick & Mortar Retail Matters• Online Sales Increase with Offline Placement

• Brand Awareness• Experiential Marketing

Retail Landscape

• Why Brick & Mortar Retail Matters• Online Sales Increase with Offline Placement• Echo available at stores

Retail Landscape

Channels:• CE• Mass• Club• Home Improvement• Wireless• Food & Drug• Department• TV

Retail Landscape

• Structure – GMM, DMM, Buyer• Assistant Buyer, Planners

Retailer Structure

• Structure – GMM, DMM, Buyer - Pyramid• Buying Process

• Line Review• Help them sell it

Retailer Structure

• Structure – GMM, DMM, Buyer - Pyramid• Buying Process• Buyers:

• Empathy• Move categories, companies• Geographic• Demographic• Psychographic

Retailer Structure

• Start at the “end”• Initial Buyer meeting with X retailer

IOT and the Retail Marketplace: Bringing IOT, Wearables, and Smart devices to retail

• Start at the “end”• Initial Buyer meeting with X retailer• Know your customer – 5 w’s

IOT and the Retail Marketplace: Bringing IOT, Wearables, and Smart devices to retail

• Start at the “end”• Initial Buyer meeting with X retailer• Know your customer – 5 w’s

• Can your product be tied to a larger project, company initiative.• Target Innovation Lab

IOT and the Retail Marketplace: Bringing IOT, Wearables, and Smart devices to retail

• Company Overview • Logistics/3PL• Financial• Key People

Buyer Presentation / Meeting

• Company Overview• Market Analysis / Overview

• Growth, sales figures• Competitive analysis

Buyer Presentation / Meeting

• Company Overview• Market analysis / overview• Products / SKU’s:

• Price – MAP, margin, options• Analytics – data from online• Explaining your product line – why would their

customer buy it.

Buyer Presentation / Meeting

• Company Overview – logistics/3PL• Market analysis / overview• Competitive analysis• Products / SKU’s:• Packaging / Marketing / Messaging

Buyer Presentation / Meeting

• Company Overview – logistics/3PL• Market analysis / overview• Competitive analysis• Products / SKU’s:• Packaging / Marketing / Messaging

All of these factors should be considered as you build your product line.

Buyer Presentation / Meeting

• “Home” Products• “Fashion” • Aspirational

Design Matters

• What has worked and hasn’t:• Sell the experience• Cramming features

• Iteration is key • Trends• Adoption – buyers follow not lead

Winning at Retail

• Belkin WeMo – sell what it does, not what it is.• Know your customer• Product validation, product market fit• Make a lot of mistakes early• Echo chamber – get input from variety of sources• Field of Dreams• “Pre” Sales – getting data from Crowdfunding, Amazon, Website

Key Factors in Bringing Hardware to Market

Thank you!

Jeff Baltzjeff@amp-consulting.com

• QVC• IOT Definition• Retailer Specifics – Customer, competition• Sell the Benefits• Know your customer

Case Study / Conclusions