The Internet of Things Joins Social, Mobile, Big Data and Cloud as a Main Branch of CRM

With all of the talk around the Internet of Things, it’s easy to get lost in the possibilities of

the future. But, right now, as you’re reading this article, connected devices are prevailing as

a new communication channel that needs to be integrated with business processes. Similar

to the adoption of social media, companies that aren’t integrating devices into business

processes, specifically customer service centers, are missing out on meaningful interactions — 

costing them customer loyalty and revenue. What if top brands like Nike, Delta and Dell

never joined Twitter? They wouldn’t just be missing out on an

Oreo Super Bowl moment, they would also be leaving behind

important customer data and cross-sell and upsell opportunities.

With social media, the opportunity to delight customers quickly

turned into a hard business need. The same thing is happening

with the integration of connected devices.

Social media saves time, increases productivity, streamlines

communication and creates cross-sell and upsell opportunities.

AT&T’s social media community resulted in 21,000 customer

issues resolved, driving 16% improvement in call deflections year

over year. Cisco deflects 120,000 support cases each month, and FICO’s community has

served 850,000 customers, resulting in a 10% improvement in call deflections annually.*

Royal Bank of Canada realized an 18% improvement in customer satisfaction from

implementing a social customer care system that was integrated with their traditional call

center applications.* And, in what may be one of the most well noted social media ROI

case studies, in 2012 Dell reported that they had generated $3 million in revenue through

Twitter alone.*

The numbers clearly show how companies that adopted social media first won and have

elated their customer base. These companies were some of the first to integrate social feeds

into business processes early on — like Customer Relationship Management (CRM) systems.

When customers heard from companies in a new and convenient way, they became more

brand loyal and bought more.

We’ve seen the world of CRM integrate social media into core business processes; connected devices are the next channel organizations must integrate in order to meet customer needs.

Companies that adopted social media first won and have elated their customer base.

Now, a few years later, we simply expect companies to share with us and respond to us on our

social networks. Businesses turned to social integration to optimize efficiencies and reach the

modern standard of support demanded by the public. A similar revolution is underway today,

and customers will come to expect that companies are proactively monitoring and listening

to their connected devices.

The call center has transformed over the years because of this revolution. No longer is it just a

call center, but rather a contact center where inquiries are handled via phone, web, email, live

chat, social media and now connected products. More and more businesses understand this

change and are beginning to realize that today’s contact center

agents have many touch points with their customers — even more

than sales. They have the ability to see a 360 degree view of

the customer and are best suited to resolve a customer problem

or even offer additional services or products for purchase. Bringing

connected devices into this conversation adds to this rich layer of

data that enables best-in-class companies to move to the next level.

Companies that are leading the connected product revolution are

making the investment to bring their machine and device data

into core business systems. They are taking their raw machine

and device data and turning it into actionable information inside

of their CRM systems. Service, Sales, Marketing and R&D are now

equipped with the data they need to make more informed decisions. Issues can now be

resolved faster and the outcome is a happier, more loyal customer. Connected product data

even enables agents to pro actively reach out when issues arise. Agents are now empowered

with visibility into the device, increasing their ability to correctly address an issue.

Today’s contact center agents have many touch points with their customers — even more than sales.

Companies typically manage their machines and assets according to three maintenance models:

Reactive A reactive model, also called a run to failure model, is characterized by running an asset

until it no longer works and then subsequently replacing it. This model is characterized by

unplanned downtime and unplanned equipment failure which negatively impacts your top

line revenue.

Scheduled A scheduled model is characterized by performing maintenance at manufacturer-

recommended intervals. This philosophy is actually the most expensive to follow because

components could be overhauled or replaced unnecessarily. In addition, assets can and will

fail between maintenance cycles.

Preventative/Predictive A preventative or predictive model is characterized by continually monitoring assets for any

sign of degradation. Companies are able to harness and analyze the data produced from

their assets to configure thresholds for notification prior to an asset encountering a failure

point. This can be used to produce a complete picture of the asset, and maintenance can be

most efficiently scheduled for known downtimes before a failure occurs.

According to the US Department of Energy, best-in-class companies that have moved to a preventative model enjoy:

10x return on investment

25-30% reduction in maintenance costs

70-75% elimination of breakdowns

35-45% reduction in downtime

20-25% increase in production

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Companies that connect to their products become more efficient organizations.

At Etherios, we have seen connected products go as far as changing business models, such

as the case with our customer, ATEK Access Technologies. ATEK’s tank monitoring devices

help their customers see liquid levels in remotely deployed liquid

storage tanks. To ensure their products are functioning properly

for their customers, ATEK uses The Social Machine® by Etherios

to bring critical information into the Salesforce Platform™. When

a device has an issue such as needing a battery replacement, the

tank itself will proactively communicate this need by opening a

Case in salesforce.com. Now, customer support is able to take

action before any unplanned downtime occurs and they only

dispatch a field service technician when it’s absolutely necessary.

When a technician is deployed to a tank, they know exactly what

the issue is so they have the right part and skill set to ensure the

issue is resolved on the first visit. A connected product solution

like this is an example of how companies have an opportunity to

revolutionize business models and take the customer experience

to a whole new level.

Reports by firms such as Gartner* emphasize that businesses will

continue to see validation in the focus on enhancing customer experience. Experts, including

thought leaders like salesforce.com, identify the Internet of Things and connected products

as the way to take the customer experience to a new level — joining social, mobile, big data

and cloud.

Connected products give companies the opportunity to revolutionize business models and take customer experience to a new level.

* Resources:– Lithium Technologies, 2011

– Peter Kim, 2012

– Christine Crandell, Forbes, 2012

– Gartner, Market Trends: CRM Digital Initiatives Focus on Sales, Marketing, Support and E-Commerce, 2014

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Key Takeaways:Transform your business by integrating your machine and device data into your business.

Customers will reward companies that move to a preventative service model.

Enhance your 360 degree view of the customer.

Talk to the experts at Etherios to develop your comprehensive connected product strategy.