A Consumer-Centric Paradigm Shift in Business Environment with the Evolution of the Internet of Things: A Literature Review

Abstract

This study attempts to study the evolution of the Internet of Things (IoT) and its implications on the business environment in terms of understanding consumer behaviour and enhancing customer satisfaction through a literature review. A literature search is carried out focussing on the application of IoT for capturing consumer behaviour and enhancing customer experience and satisfaction. NVivo is used to identify the themes of the selected studies and cluster them based on the closeness of themes. It is found that the increasing quest for customer centricity and sustainability in an ever-changing technology environment have made businesses realize the potential benefits of IoT in terms of differentiation and competitive advantage. The perceived benefits influence IoT acceptance and customer satisfaction. However, the perceived risk associated with IoT in terms of privacy and security is a significant challenge for businesses. The future of IoT is based on how businesses are going to mitigate this challenge. While most of the studies suggest frameworks concerning IoT adoption and customer satisfaction in particular sectors or products, this study is unique in a way that it summarizes those studies and gives a brief view of IoT adoption to enhance customer satisfaction across different sectors, products and services.