Sensors for Agriculture Can Raise Yields and Improve Environmental Impact, but New Business Models and Pricing Options Are Needed to Reap Full Benefits, Says Lux Research
BOSTON, MA--(Marketwired - Dec 15, 2015) - Even though sensors have many applications in agriculture, innovative pricing and service models will be key to the success of technology developers, according to Lux Research.
With farmers facing price variability and other uncertainties, few are able or willing to risk significant capital on sensing technologies, which can help make more efficient use of soil, water, pesticides, and equipment. Developers need to target the crops best suited for their technologies and create attractive financing or leasing options, or adopt service models that resonate with the growers.
"Low commodity prices have a significant impact on technology adoption in agriculture, and additional uncertainties about the expected impacts of sensing technologies also help deter adoption," said Sara Olson, Lux Research Analyst and lead author of the report titled, "Sensing in Agriculture: How Can Technology Developers Drive Adoption?"
"Rather than abandon the space, developers will need to become savvier in their approaches, using business models that appeal to growing risk aversion in order to drive wider adoption," she added.
Lux Researchers evaluated the economics of sensing technologies used in agriculture, besides assessing technology developers. Among their findings:
The report, titled "Sensing in Agriculture: How can Technology Developers Drive Adoption?" is part of the Lux Research Sensors Intelligence and the Agro Innovation Intelligence services.
About Lux Research
Lux Research provides strategic advice and ongoing intelligence for emerging technologies. Leaders in business, finance and government rely on us to help them make informed strategic decisions. Through our unique research approach focused on primary research and our extensive global network, we deliver insight, connections and competitive advantage to our clients. Visit www.luxresearchinc.com for more information.
Contact Information:
Contact:
Carole Jacques
Lux Research, Inc.
617-502-5314
carole.jacques@luxresearchinc.com