Abstract

The Internet of Things (IoT) represents a new technological revolution expected to impact all aspects of our daily lives in the future. Generation Z is foreseen as playing a fundamental role in the adoption of this type of technology, namely because of their growing importance as a consumer segment, their global role in the society, and in particular their close relationship with technology. However, extant literature on the adoption of IoT disregarded this segment. This paper aims to fulfill this gap, by exploring their knowledge, perceptions, and intentions of adopting IoT. After considering the main contributions in the consumer behavior literature regarding IoT, a qualitative approach was adopted, and 7 semi-structured interviews were conducted with Portuguese consumers aged 18-22. Content analysis was performed following the recommendations by Bardin (1977). The results showed that although Generation Z is not familiar with the concept of the IoT, they expressed a strong desire to integrate IoT technology in their lives, being open to its adoption in all fields of application, including for personal use, at home, and for work. One of the conclusions is that in order to foster the IoT adoption by this Generation, the functional benefits (performance, price, comfort, and safety) should be emphasized, so that the main risks perceived are weakened, namely the financial, performance, and physical risks.

Highlights

  • As organizations are increasingly developing new solutions based on the Internet of Things (IoT), their adoption by consumers is becoming an essential topic that deserves a lot of attention from practitioners, researchers, and public opinion alike

  • It is widely acknowledged that Generation Z has been exposed to the Internet and its associated technologies more than any other generation before, making its members highly influenced by technology, which is ubiquitous in virtually every aspect of their lives

  • Despite being experienced with the online world and with technologies in general, Generation Z often limits the use of the Internet to simple tasks such as using social network sites and searching information of their interest

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Summary

Introduction

As organizations are increasingly developing new solutions based on the Internet of Things (IoT), their adoption by consumers is becoming an essential topic that deserves a lot of attention from practitioners, researchers, and public opinion alike. As age is widely accepted as a determining factor of technology adoption, it is crucial to focus research on the new generation of consumers – Generation Z (Gen Z). This paper aims to help fulfilling this gap by exploring the potential of the Generation Z segment of consumers to IoT products and services. The research objectives of this paper are (i) to identify Gen Z knowledge about the IoT, (ii) to analyze their perceived benefits and risks regarding IoT applications, and (iii) to explore their intentions of adopting IoT. This work presents relevant contributions for the literature about the Generation Z segment of consumers to IoT products and services providing strategic implications for the management and launching of IoT products and services targeting Generation Z

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