The impact of the internet of things (IoT) on the retail sector has been significant, with retailers that deploy IoT solutions receiving an immediate competitive advantage; however, the retail sector is just the beginning of how IoT will forever change our lives. A number of other sectors are also primed for disruption through IoT solutions, including the finance sector.
While the finance sector has taken some big steps to embrace IoT, it still has major gaps in security and privacy. However, if financial institutions can put safeguards in place to protect customer privacy, the potential benefits are enormous. ATMs, for example, present an easy opportunity for improvement. A simple IoT trigger in a smart device could tell an ATM to dispense money without forcing the customer to go through the cumbersome withdrawal process. This would make use of existing tech while elevating the customer experience. Although a change like this seems small, it could have an outsized impact as an estimated 40% of millennials would quit using cash entirely if possible. Entrepreneurs in the finance sector should therefore look at what is available to work with and make incremental IoT improvements to provide the next level of services that customers expect and will embrace.
Soon, IoT connectivity will become the standard in nearly every sector. Consumers will expect devices to communicate with one another and create experiences that are intuitive, helpful and exciting. It’s up to the innovators and disruptors to develop that technology and get it to market as soon as possible.