“Google is moving into your home”
Google has recently announced that it was acquiring Nest, company that makes smart smoke alarms and thermostats. Google’s acquisition of Nest showed their interest for emerging market of “connected-home”. The idea behind the connected home is to connect all appliances to the internet so that they can be controlled from afar using either mobile devices or through internet. Google wants to make a bigger presence in the home by introducing their own line of digital appliances and their start point is smart thermostat and smoke detector.
You might be thinking what does connected-home has to do with marketing; for advertising companies such as Google, connected-devices can help companies gather better information about how consumers interact with household appliances. By using the data about people’s habits while they are at home, companies would be able to make better targeted ads. This is a common online marketing practice, where marketers track people’s online behaviours to develop and deliver specific ads based on their behaviours; however, this was only limited to people’s internet behaviour; now, by using connected-devices, marketing companies can virtually track users’ every move from how they use TV, phone, and even the room temperature. Gaining insights about customers is crucial in marketing. Up until now collecting data was expensive and timely; however, with connected-devices, companies can collect better data at lower cost in less time. Data collected by connected-devices can help marketing companies build better customer relationship management (CRM) so that companies can better pinpoint and target customers more effectively.
To sum up, connected-devices can be a creative and innovative way to collect consumer insights that can help marketers better understand consumer's behaviour and habits, which can lead to developing a better ads that can attract and encouraging consumers to make the purchase.