Part 1 Marketing Implications, Data
The Nest Thermostat, first introduced in 2011 as one of the first mainstream smart objects, bills itself as a learning thermostat for the Smartphone Generation. Besides the basic functions that most thermostats provide, Nest learns from the user’s heating and cooling habits by programing itself. In addition this smart thermostat can be controlled via Android and iOS apps or the Nest webpage. In a high profile acquisition Google bought Nest last January for $3.2 billion.
In terms of marketing implications, Nest promises that the use of collected data is strictly enforced. But based upon the type of data the Nest collects, marketers see the Nest as having exciting prospects. Developers see Nest as a way to collect data they could never naturally acquire. As Grant Wenick, co-founder of Weotta says, “Nest understands where people are in home, who’s in the home, what time they leave the home…. As they (Nest) open more of this up, companies like us could be able to plug into some of this data that people can opt into. We can make proactive recommendations of things people can do on Friday night.” While it remains to be seen just how much data developers are allowed to use, it will be interesting to see what happens with Google now at the helm.
As readers of Steven Levy’s In The Plex can attest, almost all of Google’s efforts are directed towards their advertising business. It will be interesting to see how Google uses this as they seek to further monetize their home automation business.
Marketing Grade: B- While it’s a first of its kind source of marketing information, it will take time to see how willing Google will be to allow the data of Nest Users to be utilized for marketing purposes.
Read more at Forbes