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The conventional solution for providing data confidentiality is by means of encryption (a branch of cryptography). However, encryption schemes are generally designed to provide a certain level of security without necessarily taking resource consumption into account. This poses an issue for Internet of Things (IoT) devices which are limited in terms of storage capacity and computational capabilities. In this paper, we discuss the capabilities of cryptographic solutions for providing data confidentiality and we evaluate whether these solutions are appropriate for IoT networks in terms of resource consumption. Based on the identified drawbacks of cryptographic solutions, we discuss opportunities within the area of physical-layer security (PLS). Finally, we provide an overview of PLS schemes which aim to enhance data confidentiality in IoT networks.