The Upside to Ingredient Brands
In a recent post, I explored ideas on ethical product design. Among other things, I talked about how apps and IoT device makers can engage users without compromising users’ well-being. As more stories come out like that of Samsung TVs recording people’s conversations and Bose headphones spying on customers, people will want assurance that the apps they use are designed with integrity. Ingredient brands can help.
Ingredient solutions enable host products to build trust with their customers. At the same time, they enhance the capabilities of the host product, thereby attracting new users.
Ingredient solutions enable host products to build trust with their customers. At the same time, they enhance the capabilities of the host product, thereby attracting new users.
A lot of companies run “white-label” solutions in the background of their products rather than ingredient ones. While white-label technologies enhance the host product, they don’t offer the same marketing value as ingredient brands. This is mostly because they’re hidden from end-users. Moreover, consumers may even feel apprehensive about using a host product that’s running unseen technologies beneath the surface.
Here are a few well-known examples of ingredient brands that significantly enhance the appeal of their host products.
Ingredient Brands Paying Off for Host Products
Intel
Intel established its computer chips as being the very best in the world and advertised this to consumers. Over time, people began seeking out personal computers equipped with Intel’s processors and willingly paid more for them. The Intel brand boosted the value of the host computers and consequently attracted more customers to those computer companies. People knew that computers with Intel processors were of the highest quality.
Dolby
If you’re a moviegoer, then you’ve felt the ground-shaking power of Dolby surround sound speakers. While this experience isn’t as novel as it used to be, in Dolby’s early days, movie theaters would advertise that they were showing films with this riveting new audio technology. People eager for a larger-than-life movie experience came to these Dolby-enhanced films. Eventually, Dolby became a badge of elite quality for theaters and films. It attracted more customers and helped cement customer loyalty.
PayPal
Years ago, the idea of sharing your credit card information over the Internet was scary. Not to mention, payment processing was a chore. PayPal gave consumers much-needed assurance that their bank information was safe while also simplifying the online payment process. It became a necessary ingredient to companies wanting to sell their wares over the Web. For a long time, one of the surest ways to convince people on the Internet to transact business with you was to pin the PayPal logo to your site.
For a long time, one of the surest ways to convince people on the Internet to transact business with you was to pin the PayPal logo to your site.
An AI Ingredient for Apps and IoT Devices
Ingredient solutions help host products build trust with their customers. Not just trust in terms of privacy and security, but in terms of quality. Neura, a machine learning service for mobile apps and IoT devices, is a good example of an ingredient brand that does this.
Neura’s algorithms enable apps and connected devices like fitness trackers, smart home products, and medical devices to offer highly personalized service to users. The AI engine does this by creating behavioral profiles of users, similar to how Internet companies leverage behavioral profiles to offer rich experiences. But unlike Internet companies, Neura does not share these profiles with advertisers. Instead, they give users control over their profiles. Users share bits of their profile with their apps and devices through API calls to enable personalized experiences.
Ingredient solutions help host products build trust with their customers. Not just trust in terms of privacy and security, but in terms of quality. Neura, a machine learning service for mobile apps and IoT devices, is a good example of an ingredient brand that does this.
When people see the Neura ingredient offered in one of their apps, they know their private information is safe and that rich, personalized experiences await them. This strengthens customer loyalty and, in turn, attracts new users.
Adopting an ingredient solution could be a strong play for app makers wanting an edge in the market.
