Case study: Building recurrent revenue from life saving NB- IoT smoke alarms.
Alarm, insurance companies and telecom operators are developing smart home offerings to complement their existing business. Yet they can struggle to generate meaningful revenue from standalone products such as home alarms, cameras, sensors and more. This case study illustrates how companies can build a recurrent revenue business by integrating subscriptionbased, all- inone smoke and carbon monoxide detection products into their smart home portfolios — exploiting existing connectivity technology such as NBIoT. These products offer a compelling use case for operators: they provide easytomanage IoT solutions that save lives.
Monitum has been active in the smart security and fire detection industry for over 10 years. The Stockholm based company operates a subscriptionbased model that ensures recurrent revenue streams for its partners, and in turn enables them to expand the reach of life- saving products across their customer base. To build this strategy further, the company developed a smart, allin- one smoke and carbon monoxide detector called Muuun. Muuun was created to give people a much better chance of surviving domestic fires as well as carbon monoxide poisoning by gas appliances. With a growing focus on safety in the home, smoke and carbon monoxide detectors are becoming a musthave device for every household. Although fire protection is regulated at European Union level, the problem continues to cause about 5,000 deaths each year.
Muuun is a stand-alone alarm system that is designed to be easily installed in homes and works directly with the alarm receiving centre — providing a consumer friendly product that helps drive subscription-based businesses. Following a successful collaboration on the distribution of Muuun with security company G4S Estonia they have now reached over 50 000 costumers. This next-generation plug-and-play product will supportthe next stage of Monitum’ go-to-market strategy for the mass market, using service providers from different sectors as partners on the ground. This presents a new opportunity for mobile operators in particular. Operators can insert their own narrow band SIM cards into a muuun device and sell it as a white-label product that is fully integrated with their smart home and consumer IoT strategies. Because it’s based on lower power Narrowband-IoT (NB-IoT) technology, the muuun battery life is over 5 years. The new muuun 4G is currently done with certification phase and is set to go into mass production. In the meantime, Monitum has already built up a solid track record through its work with security and home alarm specialists such as G4S in Estonia and Tryggsam in Sweden. Its approach has enabled both partners to sell products on a monthly rather than a single, upfront payment basis — by wrapping a service layer around the products they support. Everything is built to be sold as a service and not a piece of hardware. No installations for end customer, no hassle which makes it possible to reach quantity with this service.
Tryggsam is the opposite of an insurance company. Since the start in 2013, they have specialized in developing smart security services that provide a safer everyday life for their customers via security information in the mobile phone. Fire can destroy lives and livelihoods in minutes. A perhaps less-known fact is that most fire- related deaths are not caused by severe burns but by smoke inhalation. According to Tryggsam, in Sweden more than 23,000 fires in homes are reported to insurance companies every year. Over 6,000 of these fires have become so serious that the fire service has to be called.
Monitum and Tryggsam worked together to build a fire monitoring business that now protects tens of thousands of people. Tryggsam sells its service under the GetNotice brand. According to Tryggsam, the “exceptional stand-alone fire protection solution” from Monitum has enabled it to offer high quality fire-protection services to its customers in Sweden. In 2016, Tryggsam won the prestigious young entrepreneur of the year award with this service. The prize was awarded by the Founders Alliance, which today is one of Europe's largest business networks.
As shown by its partnership with Tryggsam Sweden, Monitums' goal is to collaborate with brands that want to make a difference in the world. lts mission is to provide cutting-edge safety and security solutions to homes and businesses as far and wide as possible. I Monitum believes that mobile operators in particular will make ideal partners for its business, with enormous potential benefits on both sides. Mobile operators continue to seek new revenue opportunities beyond the sale of fixed and mobile connectivity, and lo T products for the home have long been regarded as an attractive growth market. lndeed, in the Mobile Economy Europe 2021 report, GSMA lntelligence said there will be over 1.9 billion new loT connections in Europe by 2025, with smart homes and smart buildings regarded as two particular growth areas. Total loT connections are forecast to reach around 24 billion globally by 2025. Yet as GSMA lntelligence points out in Mobile Economy 2021, while connectivity remains a foundational element for lo T solutions, it accounts for a small and declining share of the overall value of the lo T market, relative to professional services and applications, platforms and services. Operators are now extending their capabilities beyond connectivity to capture a larger proportion of the overall market, with a focus on expanding their role in the lo T value chain. Monitum believes it can work with operators to build a recurrent revenue business from smoke alarms, which are an increasingly essential product for property owners and residents. Indeed, the devastation caused by domestic fires and carbon monoxide poisoning is too huge to ignore. According to the European Fire Safety Alliance, more than 5,000 people in Europe are killed by fire every year, while data from the World Health Organisation found that carbon monoxide has a higher mortality rate than HIVor skin cancer in Europe. Meanwhile, the Association of British lnsurers found that fire is one of the most expensive insurance claims, with more than €1 billion paid out to customers in the UK alone in 2018. We are seeking partners that want to make a significant impact in their country by providing smart smoke and carbon monoxide detectors. Contact us now to find out how we can work together to build a new business that also saves lives.
With over 10 years of experience in the industry, we provide white-label services that help you take safety into your own hands. Our main mission is to make every home safe and smart. We have developed strong commercial partnerships across the globe. Our products unite seamless customer experiences with premium technology. Today we have over 130,000 active services via our white label partners in Sweden alone.
Whether it’s part of an IoT strategy for your business or an opportunity to add value to your existing customer base or expand into new segments, – the safety of people is of the utmost importance. BOOK A DEMO and become a partner.
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Our head office is in Stockholm and our other team is based in Lithuania.
