Internet of things (IoT) devices are gaining the attention of many marketers and consumers. While they may have different purposes, says eMarketer in a recent survey, the study finds that these devices may become common financial transaction methods, particularly wearables.
According to 500 senior banking and insurance executives surveyed by Cognizant, Marketforce and Pegasystems, 20.4% of respondents said that wearables will become common financial transaction methods within a year. 38.9% of respondents said that it will happen within two years, 31.8% said it will happen within five years and 7.0% said it will happen in 10 years.
Only 1.9% of banking and insurance executives said that wearables will never become common financial transaction methods.
Timeframe in Which Selected IoT Devices Will Become Financial Transaction Methods (% of Respondents)
Connected white goods/smart home controllers
Connected cars (at gas station)
Source: Cognizant/Marketforce/Pegasystems, March 2016
Respondents also felt that smart TVs will become common financial transaction methods, says the report. 12.1% of banking and insurance executives said that these IoT devices will become common financial transaction methods within a year. 39.5% said it will happen within two years, while 6.4% said that it will never happen. Connected white goods and smart-home controllers and connected cars will also become common financial transaction methods. But almost half of respondents feel that it will happen within five years.
While the IoT has a wide-ranging impact across many categories, from healthcare to travel, cost may be stopping consumers from buying devices.
November 2015 research from Accenture found that nearly two-thirds of internet users worldwide said that one of the barriers to purchasing IoT devices and services was the fact that they are too expensive, concludes the report.
Barriers to Purchasing IoT Devices According to Internet Users Worldwide
% of Respondents
Concerned about privacy/security
Unsure of device most useful
Source: Accenture, January 2016
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