How to start an IoT business? Here are some tips or steps to take before you start your IoT business:
- Ask whether you want to venture into consumer IoT or industrial IoT? Consumer IoT seems to be challenging if you are a startup because it can consume a lot of resources especially marketing because you need to reach out far and wide. Furthermore, consumer ioT devices are very trendy, and thus the tendency the product can be obsolete can be very fast (probably less than a year) and competition can be high with big competitors.
- If you want to embark on industrial IoT, find an industry that has big pain points and has an urgency to deploy IoT solutions. The sales cycle for enterprise or industrial IoT can be very long. Sometimes can go beyond 6 months or more.
- Understand the value chain of IoT – sensors/devices, connectivity, platform, analytics, applications development or system integrator. Find your strength and very good at this. But you need to work with the IoT ecosystem partners to complete your solution.
- Develop the pricing and right business model.
- Find the best marketing and distribution channel.
- Get the traction early and fast.