When businesses make the decision to track data for the purpose of understanding the market and their customers better, that is often where their data strategy roadmap ends. But, if you want that data to reduce your risks, generate revenue, and optimize your marketing directives, then the next step is to discover how to build valuable data products. That means implementing strategies to monetize your data and that revenue to add value to your business.
What is Data Monetization?
Your business and customer data can act as a value chain and not simply a decision-making tool. The costs to your business when sourcing and gathering valuable data can be offset with business strategies that include data monetization. Why waste the valuable time and money it takes to collect and analyze volumes of business data and not gain any profitable business insight or income?
Data Monetization uses data to bring about a measurable economic benefit to a company. These gains may be indirect, including:
- To gain insight into who your customers are and how to reach them.
- What skillset your business needs to compete at a higher level.
- Data can help solve a problem after slow sales or poor performance.
Your business data can also bring direct monetary benefits to your company. When you implement a corporate-wide data product strategy, you move from using data to gain indirect operating benefits to those that directly improve your business processes to reduce waste or save time and produce revenue.
The Key To Valuable Data
The key path to accessing the value of your data is to partner with an information technology service provider, where you gain access to expert IT professionals that specialize in data engineering and Big Data analytics. These companies take the mystery out of implementing concrete ways to use your accumulated data in day-to-day operations and as data product – ways that can reduce operating costs and increase revenue.
Start visualizing your sales and customer data as one of your greatest business assets. Then you can begin to imagine ways in which data can create new revenue streams. One direct path to gaining value from your data is through direct monetization which involves selling the data you have to business partners and even customers. To do this, you have to convert raw, collected data into data that is valuable and implement business practices that include the following:
- Use technology to build a data infrastructure that is aligned with your corporate goals.
- Make the data accessible to key personnel to measure and evaluate their patterns and performance.
- Enter a phase of data experimentation to discover which tools are maximizing your opportunities.
- Foster a data-driven culture where employees are expected to support business decisions with data.
BUILDING VALUABLE DATA PRODUCTS
When building big data products that can be monetized, a lot of work must go into the back end, such as addressing data storage and the way the data is organized and classified. Unstructured data cannot effectively address business issues or decision-making. That’s why any valuable data product must begin with good data management. Other factors in building data products that are valued by others and can be used as a tool to increase revenue include:
- Having a means to not only identify good data, but also understand its meaning.
- The ability to unify data that resides in disparate systems into a consistent data view.
- Data should be stored in a location that is easy to access and easy to share.
- If data will be monetized, it must be packaged correctly with rules and access privileges.
Sequent Solutions Will Help Build Your Business
When you’re ready to build valuable data products and monetize the volumes of data that your company has within its information systems, speak with the data experts at Sequent Solutions where you can harness the power of a global IT workforce.