Revenue-Boosting Outcomes of Connected Business Models
OEMs were already exploring different ways of doing business pre-pandemic. Then, the “new normal” of COVID-19 created an urgency to support customers through a connected value chain. As we enter the “next normal,” leveraging IoT- and AR-driven solutions to increase revenue and optimize business transactions between OEMs and end users is no longer just a nice-to-have; it’s a necessity.
With the right infrastructure and insights, OEMs can realize three revenue-boosting outcomes of connected business models—through the “next normal” and beyond.
According to Capgemini, 72% of manufacturers are shifting their business strategy:
adding services to their product portfolio
shifting to service-based business
Source: Digital Engineering: The new growth engine for discrete manufacturers, Capgemini Digital Transformation Institute
Increased Profits through a Digital Services Program
IoT-enabled remote connectivity provides visibility into customer usage patterns, direct from the machines at customer sites. From there, product innovation solutions drive valuable performance insights that empower OEMs to sell their expertise about the product.
A digital services program that helps your customers improve operational performance and maximize business value—while boosting your profits.
Predictable Revenue through Outcomes-Based Transactions
Product innovation solutions help OEMs track equipment use, analyze outcomes (such as hours and cycles of use), and build a business model around those outcomes.
Maximized equipment insights for outcomes-based transactions, such as product as a service (PAAS) innovations, that lead to recurring, predictable revenue.
Automated Customer Transactions through a Consumables Sales Program
With product innovation solutions, OEMs can monitor the rate at which customers use consumables, such as reagents and spare parts. Meanwhile, product intelligence solutions integrate business systems for automated billing.
These combined insights and infrastructure enable OEMs to automate consumables sales and add value for your customers. An automated consumables sales program helps your customers avoid operational disruptions—and creates recurring revenue for you.
Realize These Revenue-Boosting Outcomes and More
Experts in product innovation and product intelligence solutions can help you build an outcomes-based approach to connected business models that drive revenue and support your customers. Learn how Flowserve invested in IoT to transform their service in response to rising customer expectations.