the future of wearables
DESCRIPTION
The current state and challenges of wearable technology, and how to optimize its functions to maximize its potential.TRANSCRIPT
the future of wearable
technologyBy Ellen Noh
overview
Ever since Google introduced the idea of wearable with its Google Glass in 2012, many tech giants have jumped on the bandwagon
to explore the new frontier.
Google Glass is a trademark of Google, registered in the U.S. and other countries.
Wearable technology, especially smartwatches, presents new
opportunities because consumers will have their devices readily available wherever they are.
Samsung Galaxy Gear is a trademark of Samsung Group, registered in the U.S. and other countries.
Understanding consumer’s current context and needs within
the engagement lifecycle is crucial to successfully leverage
wearable technology.
challenges
Awareness of and interest in wearable devices are gaining
momentum, but consumers are far more conservative when it comes to try a more intimate relationship with technology.
According to Forrester Research,
According to Forrester Research,
Wearable technology is the most popular to a subset of technophiles who are drawn
to devices for their novelty factor.
According to Forrester Research,
Wearable technology is the most popular to a subset of technophiles who are drawn
to devices for their novelty factor.
In fact, "love of technology" is
the third-strongest predictorof interest.1
In order for wearable technology to be relevant to everyone -not just early adopters-
manufacturers and marketers will have to overcome these
challenges.
challenges: Design
One of the biggest roadblocks of wearable technology is the
design. We’re still missing that combination of something both beautiful and highly functional.
In order for wearable technology to become accepted by the mass
market, the design has to fit with the rest of consumers’ style.
Survey results also show that design has a considerable influence on many Americans' daily choices.
Almost seven in 10 respondents said that the last time they saw a product in a store that they "just had to
have," it was because of its design.2
Survey results also show that design has a considerable influence on many Americans' daily choices.
A majority of those surveyed (55 percent) believe that good design can actually improve a product's
functionality while also making it look better.2
Take Apple’s Keynote for an example.
Apple Logo is a trademark of Apple Inc, registered in the U.S. and other countries.
Before the official keynote announcing the Apple Watch, the conversation was split somewhat
evenly between design, cost, and the functions.3
0%
10%
20%
30%
40%
50%
60%
Design Cost Function
27.2%32.4%
40.4%
Take Apple’s Keynote for an example.
Apple Logo is a trademark of Apple Inc, registered in the U.S. and other countries.
However, after the Keynote, the conversation around the new product focused heavily on design.3
0%
10%
20%
30%
40%
50%
60%
Design Cost Function
32.3%
16.3%
51.6%
Take Apple’s Keynote for an example.
Apple Logo is a trademark of Apple Inc, registered in the U.S. and other countries.
“‘With phrases such as ‘luxury’ and ‘fashion designers’ among the top keywords being
used by consumers discussing the design of the Apple Watch, it is clear that people were
very impressed with this high-end device from Apple, both technologically and
aesthetically,’ explained Leah Pope, VP of Global Marketing for Synthesio.”3
challenges: privacy
Consumers’ concern with digital privacy is higher than ever.
Consumers’ concern with digital privacy is higher than ever.
According to new data out from Accenture and Acquity Group, privacy concerns top
the list of reasons many won't adopt wearable technology soon.4
Consumers’ concern with digital privacy is higher than ever.
According to new data out from Accenture and Acquity Group, privacy concerns top
the list of reasons many won't adopt wearable technology soon.4
80% say they're concerned about the privacy of wearable tech4
In order to capitalize on wearable technology, companies need to focus on protecting data and providing specific benefits
to consumers.
opportunities
Opportunities for enhanced convenience and rich
information feedback primarily drive consumer interest in
wearable technology.
Because of its unique position, (as in you are wearing it),
wearable technology has a huge potential to not only streamline
daily lifestyle, but also be a valuable tool in gathering
marketing data.
opportunities: Travel
Digital technologies are affecting the way we travel,
enabling a fully connected door-to-door experience, as well as
making the process more seamless and enjoyable.
Smartphone/tablet bookings account for 21% of hotel bookings5
Smartphone/tablet bookings account for 21% of hotel bookings5
34% of global consumers use mobiles for peer-to-peer rentals5
Smartphone/tablet bookings account for 21% of hotel bookings5
34% of global consumers use mobiles for peer-to-peer rentals5
12% of bookings are made in-app5
Wearable technology can take a step further at streamlining the
digital travel experience.
JAL has decided to use wearable technology to track and
improve the efficiency of its gate agents.
Image Credit: http://skift.com/2014/07/14/japan-airlines-to-track-gate-agents-with-smart-watches-and-ibeacons/
Japanese Airline (JAL)
A specially designed tracking program, linking smart watches
and beacons, reveals the proximity of staff in the area
who could be assigned to serve passengers.
Image Credit: http://skift.com/2014/07/14/japan-airlines-to-track-gate-agents-with-smart-watches-and-ibeacons/
Japanese Airline (JAL)
As the functions of smartwatches expand, travel
industry might be able to capitalize on location-based
notifications and digital tickets.
Image Credit: http://skift.com/2014/07/14/japan-airlines-to-track-gate-agents-with-smart-watches-and-ibeacons/
opportunities: w-commerce
Earlier in September, the possibility of mobile payment
flung wide open with Apple Pay.
As consumers become more comfortable with the idea of
mobile payment, wearable could become a convenient
platform for a more sophisticated digital
transaction experience.
Lollapalooza offered festival goers wearable tech that can be
linked to credit and debit card information.
Image Credit: http://www.psfk.com/2014/06/barclays-wristband-payment-method.html
Lollapalooza
Using RFID, it allowed people to pay for food and drinks without
having to carry cash or swipe their cards. Vendors already had pay pads on which users could tap
their bracelets for easy payment.
Image Credit: http://www.psfk.com/2014/06/barclays-wristband-payment-method.html
Lollapalooza
Wearable technology can provide greater convenience to mobile
payment. If equipped with privacy protection and vendor
partnership, wearables can be an indispensable platform to extend
mobile payment.
Image Credit: http://www.psfk.com/2014/06/barclays-wristband-payment-method.html
opportunities:emotional tech
Collecting information about the way people feel about brands and experiences has been an
ongoing challenge for the market research world.
Wearable technology, decked with its latest biometric
sensors, could provide a solution to gathering unfiltered
consumers’ emotional data.
Studio XO can emotionally connect emotion and technology through their XOX platform that
allows on-body sensing and analysis.
Image Credit: http://www.psfk.com/2014/09/studio-xox-sensory-technology-platform.html
XOX
The basic XOX system includes specially designed ergonomic
wristbands that are worn on the upper wrist. Intimate data is
read via a number of wearable biometric sensors.
Image Credit: http://www.psfk.com/2014/09/studio-xox-sensory-technology-platform.html
XOX
This technology presents possibility for brands, artists to
track audience’s emotional states in real time via wearables
Image Credit: http://www.psfk.com/2014/09/studio-xox-sensory-technology-platform.html
XOX
Wearable technology presents many exciting possibilities for
brands and marketers.
Addressing consumer’s potential concerns and utilizing its capability creatively will be crucial to mainstream this new
technology.
Contact Ellen
LinkedIn: http://www.linkedin.com/in/ellensnoh Twitter: http://www.twitter.com/ellen_noh
Appendix1. Forrester Research: https://www.forrester.com/US+Online+Consumers+Perspectives+On+Wearable+Technology/fulltext/-/E-RES118450 !2. Design Survey: http://www.reliableplant.com/Read/6019/survey-great-design-is-priority-for-'millennial'-generation !3. Apple Keynote: http://socialfresh.com/apple-watch-social-media-monitoring/ !4. Privacy: http://www.bizreport.com/2014/08/study-privacy-concerns-high-for-wearable-tech.html !5. Travel: http://www.bizreport.com/2014/09/study-mobile-driving-travel-plans.html !