IoT technology is capable of conforming to almost any industry. As the cost curve continues to decline, companies benefit from competitive pricing strategies. The advancement of technology allows companies to experiment with different platforms and price ranges.

This graph overviews the declining price of IoT sensors over the last 15 years. As IoT becomes more widely available, prices continue to become more affordable.The Fall of IoT Tech Pricing

According to Microsoft, the average price of an Internet of Things (IoT) sensor has declined from $1.30 in 2004 to $0.44 in 2018. As technology continues to advance, so do business models. Vendors have begun adopting software-as-a-service (SaaS), and with that, customers have taken advantage of the cheaper IoT sensors, increased connectivity, and software platforms.

One of the more popular pricing strategies in use today is subscription-based. With a subscription plan, vendors can factor in discounts for year-long contracts. Subscribers pay the same amount every month, no matter how much they use the system. By providing IoT technology with pricing models, companies can adjust pricing according to how much the customers use. Now, customers only have to pay for what they use.

The Future of Pricing

As times change, so does technology. IoT will continue to advance to keep up with other advancements. Experts are predicting that companies will be able to anticipate total costs of usage. Instead of customers paying for the usage post-use, customers will be able to pay upfront for expected costs. This pricing strategy will help companies plan their costs, ultimately saving them money.


 

Join the AirFinder Difference!

  • Innovation. Organizations can be freed up to innovate and bring more impactful products and services to market.
  • Profitability. Increased profitability provides new opportunities to innovate and improve valuation.
  • Digital Transformation. Discover competitive advantages, new revenue opportunities, improved customer relationships, and increased efficiency.

 


What Is IoT Capable of?

IoT technology allows companies to take advantage of the product-as-a-service model. Companies can rent equipment to their clients, and track the location and usage. Instead of paying full price, a company can use a lease-like model and track all of that data within a single interface. Such IoT asset tracking and monitoring systems can provide greater and more immediate impact on a customer’s ROI.

Link Labs’ AirFinder IoT Platform

Link Labs is an asset tracking solution provider that includes an IoT platform where users can visualize asset location and condition in real time. Our team of experts are leading innovators for IoT technology. Everyday, we are making advancements to our IoT technology platform so that our customers have the most leading-edge solution on the market. Learn more about Link Labs and our AirFinder solution by booking a demo today!

The evolution of IoT technology pricing has allowed for more affordable options. At Link Labs, we strive to provide the most affordable IoT pricing on the market

Jennifer Halstead

Written by Jennifer Halstead

Jennifer Halstead, MBA, CPA brings more than 20 years financial industry experience to Link Labs. She began her career in finance within the pharmaceutical industry and has continued in both public accounting and private companies. She passed the CPA exam with the 3rd highest score in the state and completed her MBA with an accounting concentration (summa cum laude). Jennifer has worked with several software companies and has led multiple venture financing, merger and acquisitions deals. She has helped companies expand internationally and has managed the finance department of a startup to 33 consecutive quarters of growth prior to acquisition. After the acquisition, she served as the Controller of Dell Software Group’s Data Protection Division where she managed a portfolio of multiple hardware and software products to scale and achieve over triple-digit growth worldwide in 18 months. Jennifer brings a depth of finance experience to the Link Labs team.

Related Blogs

Asset Tracking, BLE Asset Management supply chain, iot, visibility, ai, real time data, technology, automation, cold chain monitoring, sustainability, Managing Risk, simple UI, inventory level management, vital business models, Outdoor IoT Sensor, Indoor IoT Sensors, Supply Chain Cycle, affordable smart sensors, democratization of asset tracking, multi-layered chains

4 Ways Technology Improves Supply Chains

Asset Tracking, BLE Asset Management Election Integrity, RTLS, asset tracking system, automation, Elections, legal concerns, chain of custody, mail-in ballot

How Counties Can Avoid Public Scrutiny During Elections

Asset Tracking, BLE Asset Management RTLS, supply chain, remote assets, gps, satellite, automation, Satellite GPS tracker

How Satellites Optimize Supply Chains and Logistics

Subscribe to Link Labs' blog weekly update!

Subscribe

Subscribe to Link Labs' blog weekly update!