I think the problem is there is no 'killer application' for IoT.
Look at computers. Their killer application is to save time, process more data, make less mistakes, etc. Everyone has some kind of computer now, even if it is just for banking and writing 5 letters a year.
Look at mobile phones. Being able to call from anywhere is awesome. Nowadays the market is also BS-ifying to keep some revenue going, but still everyone has a mobile phone of some degree of functionality..
What IoT application must I absolutely have to not miss out on anything?
Why should my home appliances be connected to the internet? I don't see any reason. Like as if my microwave is going to be able to put things in it by itself when I'm not home. I might as well be around when I turn it on.
Look at Juicero. People call IoT DRM. Why should we allow DRM into our physical life? There is absolutely no right of existence for these kind of products IMO, it's all made up stuff. A hype, a bubble perhaps.
Home automation? Having your house lightning and climate control automated is cool, but also a bit nerdy. People don't mind flicking a light switch or opening a window every now and then.
Moreover there is no reason to put this 'in the cloud', i.e. IoT-ify it. If I were to run such a system, it better not be connected to the internet at all, because of privacy & security and stuff..