A Framework for Marketing IoT-Based Innovations to the Next Billion

This study deals with the marketing of Internet of things (IoT)-based products and services to underserved consumers in emerging markets. In recent years, this segment has shown tremendous resilience despite harsh macroeconomic conditions. This has prompted many technology companies to venture products and services for this market segment. However, the marketing of IoT-based products and services must adopt a balanced approach to entice the high value-demanding consumers of this segment. This paper presents a marketing framework based on the outcome of qualitative and quantitative research conducted in urban slum communities in Kolkata and Ahmedabad, India. The study was concerned with a particular service - providing employment to the informal job market. Findings suggest that awareness is dependent on three components - perceived value, social acceptance and usability. Perceived value arises from cost benefits and relative efficiency compared to existing systems. Social acceptance relates to cultural integration and localization of the service. Usability has a localization component to it and training in use of the system. An IoT-based service that produces value for its users while at the same time providing a culturally integrated and localized experienced would gain greater traction among users in emerging markets. This paper further reports captured models for IoT-based innovations suitable for urban poor communities.