Media Contact

Ms. Lindsay Hou

Tel: +886-2-8978-6488 ext.667

RSS Subscription
  NAND Flash  
  Consumer Electronics  
  Green Energy  
  Internet of Things  
  Automotive Electronics  
  Innovative Technological Applications  

Press Release

TrendForce Anticipates Revolution in Shopping Experience with Integration of O2O and IoT

Wednesday , 07 / 15 / 2015 [ Analysts: Kelly Hsieh ]

As applications of Big Data and Internet of Things (IoT) technologies widen, online-to-offline (O2O) will become the prevalent business model. The latest research by Topology Research Institute (TRI), a division of TrendForce, finds the falling prices of IC components drive down the costs of sensors. This trend in turn accelerates the developments in the IoT industry related to technological advances and entries into different vertical markets. Examples of such markets include smart home, smart energy, intelligent transportation, smart factory and smart shopping district. 

The drive to introduce micro-location and push notification systems into different applications has been gaining momentum since Apple launched its iBeacon technology in 2013. According to TRI’s Senior Research Manager Kelly Hsieh, one of the major developments in the IoT industry is using beacon hardware together with mobile apps to conduct Big Data analyses. With more beacon hardware being installed in the next few years, TRI expects the technology will spread to various hubs within the retail channels. Major retail companies around the globe have already used the beacon systems to guide shoppers inside their stores and send promotional ads to shoppers’ mobile devices – from Walmart, Macy’s and McDonald’s in the United States to NTT DoCoMo in Japan. The O2O model raises consumers’ willingness to purchase through this integration of the physical stores with the Internet. Currently, some districts in New York have stores outfitted with Bluetooth beacons. Mobile users will thus be able receive instant messages from these business venues when they are in transmission range. This kind of services are expected to extend to the rest of the U.S. in the near future. 

Smart commerce revolves around consumer behaviors, and the advances of Big Data and the Cloud technologies have made retail and warehouse networks more intelligent. These forces in turn spur the development of smart shopping districts in cities. Countries like the U.S., France, Japan, South Korea and China are actively rolling out plans to provide people more shopping information within a city via micro-location and push notification, thus creating a smart shopping district experience. Brick-and-mortar stores are also offering their customers one-stop shopping solutions with cloud-based POS systems and combining shopping experience with virtual reality. All these greatly hasten the integration of the smart commerce value chain. 

Nonetheless, smart commerce value chain are facing many challenges such as the lack of assessment standards and case studies. Moreover, tech startups have yet to gain the trust of large retail businesses. In the technical aspect, the penetration of 4G is limited and there are still not enough micro-location systems being installed. Addressing these issues requires further integration of the ICT sector. The most critical problem, however, lies in the ability of smartphones to receive micro-location and push notification signals anytime. Using location services involves more frequent transmissions of wireless signals and can quickly drain smartphone batteries. While these factors will influence the application development of micro-location and push notification, Hsieh believes the outlook for these technologies is positive in the long run as they become a trend in indoor, interactive applications.

To keep updated with our press releases, please follow our social media pages. facebookGoogle+TwitterLinkin

IoT smart commerce big data IC component sensor smart home smart energy smart shopping district micro-location push notification Apple Beacon Japan America Bluetooth consumer behavior 4G

TrendForce Press Center Copyright Notice
TrendForce grants you a limited license to use and/or republish any of the press releases on TrendForce Press Center for any legitimate media purpose (including copying and redistributing the content of press releases in any format and via any outlets), provided that you follow these license terms:

1. Reference TrendForce as the source on your works, or include a hyperlink to the original release on the TrendForce site.
2. Do not modify any press release wording, or maliciously alter its related information. Users are subject to any civil or criminal liabilities if the information displayed in the copy or redistribution of press releases is inconsistent with the original materials on TrendForce Press Center.
3. Do not modify or add hyperlinks, including but not limited to adlinks, within the press release. The authorization of press releases on TrendForce Press Center does not grant users the right to suggest, approve or endorse their value-added derivatives on behalf of this body.

If your citations of press releases contain mistakes and/or have information missing, TrendForce may, in its sole discretion, direct you to remove the content distributed via TrendForce from your site at any time and for any reason, and you agree to comply with such request.