Smart devices collecting biometric and behavioral data are transforming everyday objects into services and platforms:
The big tech trend that was revealed at CES [Consumer Electronics Show] this year is that almost every device on display was powered by software and had its core functionality enhanced by AI and labeled as a smart device. But this major tech trend is influencing the emergence of two other trends: The first one is the emergence of an everything-as-a-service (EaaS) economic model in the way products are delivered and consumed. And the second is the emergence of these ordinary day-to-day devices as digital platforms.
When smart mirrors read your skin tone, provide recommendations and can order makeup and skincare products, the physical mirror is no longer the product that we own. The physical mirror is merely a gateway into a far larger service that transcends beyond its original function. Looking at the mirror is no longer the value that the customer and the vendor gain out of the device. The mirror is simply becoming a conduit to a much larger and more useful service. In essence, the mirror is becoming a skincare and beauty service.
The same will apply to the refrigerators, ovens, toothbrushes, smartwatches and many other objects. They will become conduits for eating, brushing, sleeping, exercising and living-healthy services.
In addition to these mundane objects becoming components of the EaaS ecosystem, they are also becoming platforms, each on its own.
They are becoming platforms where they know their status and their function. They also know your status and your needs. And they know when to fulfill orders. They can connect to suppliers to get you what you need when you need it without you even thinking or worrying about it.
The DNA-programmed wearable band is another example of a platform where it can tell you what to buy and eat in order to maintain optimal health based on your DNA. A smart band on your wrist will become a DNA-based platform for your healthy shopping service.
Soon, I believe devices of all shapes, sizes and functions will become EaaS platforms that connect suppliers to consumers and order or download supplies to those platforms based on the recommendations of AI algorithms.
I foresee a future where with these various devices becoming platforms, we will move toward an interconnected mega-platform. And with this new mega-platform, the nature of data that is being collected goes far beyond financial data, purchasing habits and the sharing of our opinions on social media. Data is being collected and potentially shared on our skin, health, physique, and psyche, eating and sleeping habits, and even our DNA. (Elnaj, 2020, paras. 3, 6-12)
Having learned that everything-as-a-service presents a change in how consumers interact with products, I thought it would be interesting to research the shift towards a mega-platform, as my partners at Huntington focus on self-service experience and work extensively on the mobile app.
If everyday objects, like mirrors and toothbrushes, were turned into digital platforms and every interaction we had was with a smart device, what would that do to our well-being? Have we fully considered the financial impact turning ordinary objects into services would have on consumers, who now pay a subscription every month for what was once a mundane task?
Perhaps we are getting too caught up in the possibilities, and should reflect on what a mega-platform could offer at its core: convenience and surveillance. When applied to banking, this could possibly be the answer to achieving a new sense of financial wellness. Our relationship with a bank is already the most secure account we have; it seems to be the logical outlet to manage other services. By posing the far-fetched question of whether a mega-platform could counteract counterproductive ones, I begin to ponder the underlying idea of whether oversight into spending habits could truly reduce trivial spending.
References
Elnaj, S. (2020, February 25). The Rise Of The Interconnected Mega-Platform. Forbes. https://www.forbes.com/councils/forbestechcouncil/2020/02/25/the-rise-of-the-interconnected-mega-platform/
