MONETIZING IOT: THINGWORX MARKETPLACE AND THE SUBSCRIPTION ECONOMY
Relationship Business Management We build modern, flexible and easy to use enterprise software (RBM) that enables companies to manage all aspects of their relationship with their subscribers 3
The World has shifted to the Subscription Economy 6.8 Billion potential subscribers on mobile, social and web. By 2018, 71% of consumer spend will be on access, not ownership. - 2014 McKinsey Global Media Report
2015 2012 Capital Markets are rewarding companies with a recurring base of revenue. In 2012 Adobe pivoted their entire business to the cloud 50%. 20% Decrease in revenue Increase in earnings per share 70% Increase in revenue 40% Increase in subscribers
Every industry is shifting consumer goods communication healthcare Internet Of Things technology education music entertainment
Winners are delivering the Subscription Experience Personal Real-Time Immediate fulfillment On Going Value Memorable Services
Relationships start with with the Subscriber Identity TRADITIONAL RECORD Name Email Twitter Phone Company Facebook SUBSCRIBER IDENTITY RECORD Purchases Products Local Pricing Promotions Adjustments Payment history Refund history Lifetime Value Renewal Value Aging balance *Usage metrics (outcome based billing) *Add-Ons, Associated Products or Provisioned Assets *Service Requests, Inquiries, Exchanges *Service Programs *Consumables, Training, & Programs
Unify your subscriber experience across all channels Retail Sales Channel Desktop Mobile
RBM The Subscription Experience Requires Relationship Business Management Commerce Billing Finance
Z-Business enables the Subscripton Journey C O M M E R C E B I L L I N G F I N A N C E Product Catalog Relationship Order Management Branded Invoices Global Payments Subscription Finance Analytics Z - B U S I N E S S P L A T F O R M SAAS SECURITY SCALE COEXISTENCE
Z-Business Ecosystem CRM RELATIONSHIP BUSINESS MANAGEMENT COMMERCE BILLING FINANCE Payment Gateways Web APIs Taxation Provisioning Mediation SUBSCRIBER IDENITY
4 Monetization Strategies Box App Store IoT Data After Market
Strategy 1: The Box strategy S m a l l B o x Old World Design product Sell product Market price New World Design platform Consumer driven choice Revenue model Box B i g B o x Old World Design equipment Sell, install, train, deploy T&M for service Bill for consumables Service Contracts New World Design platform Outcome based billing Consumables, service & training based on outcome metrics & personalied programs 14
Strategy 2: The App Store strategy A p p S t o r e Old World Platform w/ OEM supported apps Little or no updates One time fee New World Consumer driven platform / device OEM + 3 rd party apps developed Flexible revenue models App Y o u r A p p S t o r e Hardware + SW + Data = Customer Centric applications SUBCRIBER IDENTITY RECORD Offerings & Provisioning Commerce Billing Finance 15
Strategy 3: The After Market strategy A f t e r M a r k e t Old World Extended warranty options = one price fits all Upgrades & continued relationship not supported New World Sign up for initial service or outcome based on contract Aligned after market contract to customer specific options After Market
Strategy 4: The Data strategy S m a l l D a t a Old World No collected data Customer collects data if they want New World Data from connected products Solution based programs for consumers B i g D a t a Old World Analytic tools for collection & reporting New World Data Data from connected products Outcome based on applications created for customer solution
Leveraging RBM in i n a n I o T w o r l d Box up your solution & provide personalized purchasing options Leverage your connected solutions data to support your connected customers Box Data RBM App Store After Market Leverage your ACI to deploy existing apps & future development to drive revenue and customer satisfaction Leverage RBM to support specific after market programs for your connected customers Traditional Product Price Place Promotion Emerging Product System Revenue Model Access & Availability Public Engagement 18
IoT?
HARDWARE SOFTWARE EMBEDDED CLOUD FIXED APPS PLATFORM
The THINGS of the world are changing and so are the building blocks of IoT Solutions Compatible Hardware Platform Extensions Business Systems Packaged Apps Solution Providers
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Consumers Providers
The Power of the Ecosystem
Business Systems/ Analytic Partners Solution Providers Systems Integrators Mobile Network Operators Edge & Embedded Devices
+ = Certified Hardware App Builder
Application Assembly
+ + =
Medical Devices
Value-add Services
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