The drilling machine in the IoT concept/
Measuring and billing consumption in real time
Products are no longer purchased, but rented, leased or shared. This is also a trend in the manufacturing industry. According to a 2018 Capgemini survey, 72 percent of manufacturers expect to sell not only products but also services in the future.
The manufacturing industry has a lot to do if it wants to meet its own expectations when it comes to smart products: 54 percent expect to add services to their product range in 2020. 18 percent even assume that they will no longer sell products, but only make them available as services. Portfolios that bundle product use with maintenance and service are a viable option here.
To implement this, companies need cross-departmental innovation projects involving production, IT and not least sales. After all, it's not just about making products "smart" in the cooperation between production and IT. It's also about innovative service and payment formats, new bundles and the corresponding processes. That's why the sales department also has to be involved in the project. Exciting impulses come from the e-commerce environment on the subject of pay-per-use and product-as-a-service.
The show case in detail: A drill is not sold, but billed according to the pay-per-use method. In this case, billing takes place promptly, in our example using a crypto currency on the basis of upfront payments. The user pays an amount into his crypto account in crypto currency. The drilling machine can only start once the account has been filled. The drill can be adjusted to three different capacity levels. It reports utilization and speed in real time to the e-commerce platform, which in turn translates these figures into the intensity of use and debits them to the crypto account - all this in real time. The product-as-a-service and pay-per-use concept is complete.
The advantages are obvious: no investment is required on the customer side. The customer has no capital commitment, he or she can scale freely up and down. The supplier in turn has fast access to the market. He does not have to argue the ROI for higher investment sums. Suppliers and demand come together faster because there is no investment risk for the customer. The cash flow is guaranteed.
What's more, the supplier always knows where the device is. Thanks to the location information also integrated into the drilling machine. And last but not least, the sensor data can be used for predictive maintenance concepts.