The transformation from products to services has the potential to move enterprises from being providers of products to becoming service providers. At the same time, organizations can switch from one-time sale revenue to recurring monthly revenues for the services they provide.
With analyst firm IDC reporting that manufacturers want to capture upwards of 30% of their revenues from services in the future, there’s a clear direction of travel towards servitization. However, the fire and forget products of today will have to radically alter to fit this model. They must become fully connected and integrated into the wider IoT ecosystem, sharing their data and delivering powerful business value. This evolution is explored in greater depth in the PTC whitepaper: Service Transformation: Evolving Your Service Business in the Era of Internet of Things.
PTC explores how everything from domestic washing machines to cars, heavy plant, healthcare equipment and factory machines will be connected and disseminating data for analysis. However, it is the higher value equipment, such as mining equipment, that has the strongest initial business case.
Specialised areas of the market have a high potential for success. Even though equipment can be dispersed across geographies, it is relatively small in volume. In addition, that equipment is valuable and tends to present a substantial cost in capex for its owner. Finally, the cost also makes it easier to extract savings and efficiencies that make an investment in IoT viable and attractive.
4 Reasons Remote Monitoring is Your Best Move to Better Service
Download and read this new e-book today to discover how the right remote monitoring solution can deliver:
- Bottom line benefits through more effective and efficient service
- Top line growth based on service business innovation and improved customer satisfaction
- A risk-free way to start your IoT journey
- An attractive ROI
