Where’s The Money in Data?

There is little argument that there is value in data. In fact, when asked, many executives would say their data is one of their organization’s most valuable assets. Yet, as we progress further in to the age of digitization many of those same executives are asking “How do we use data to drive revenue?” or “Where’s the money in data?” It is much easier to consider and treat data as a valuable asset than it is to monetize it and actually generate value from it.

Data monetization, the term used to describe a variety of approaches to turning data into dollars, is a whole new ball game when it comes to managing and using data. It demands different business processes, a unique blend of skills and capabilities, and sometimes even requires new operating models. There are a variety of considerations for businesses looking to launch monetization initiatives. This five-part series will introduce a framework to help you evaluate the most appropriate method of monetization for your organization.
Part One: The Focus and State of the Problem
The most important factor in any monetization effort is the product, service or practice should solve a problem or have value in the context of the consumer’s use. When considering value for the consumer it first must have value of utility in order for it to have an exchange value to monetize. This is true whether there is to be exchange of currency in a sales transaction, an exchange of goods or services in a barter or trade deal, or an exchange of internal capabilities that reduce operating costs.
All data monetization efforts require that data is ultimately used to drive actions or decisions that solve a problem for an end consumer. This fundamental requirement is where most businesses fail when attempting to monetize data because the typical approach is “How can we sell data to increase our revenues?” which assumes that the value is the sale of the data itself. In order to successfully monetize data, organizations must flip this approach and start with the end in mind. The questions should be “What problem can our data solve?” and “How valuable would it be to the end consumer if these problems were solved?”
It is important to note that “end consumer” does not always mean customer either. Monetized data solutions can be for internal end consumers as well. Monetization is about solving problems, driving action or decisions, and creating solutions that provide unique capabilities with high utility value that the end consumer would not otherwise be able to generate on their own.
Two aspects of “problem” define the data monetization framework, the focus and the state (see figure 1). Focus determines if the problem to be solved is based on an internal or external need. If you are looking to reach more customers, sell more products or improve business processes, the focus of the problem is internal. If you are looking to improve the customer experience, create additional functionality or utility in products, or provide a solution to a customer’s problem, the focus is external.
The state of the problem is determined by how long the problem has existed. If it is a current, ongoing problem where the need is known, the state is existing. If however, the problem is recently identified or has not been ongoing, the state is new. The needs of existing problems are well defined whereas the needs of new problems may not be specific or wholly understood. This means that while all monetization offerings ultimately provide solutions to problems, monetizing opportunities for problems with a state of new, will require greater demonstration and definition of utility for the end consumer.
Defining the problem in the terms of state and focus determines the monetization opportunity at hand and is critical as each of the four data monetization opportunities have unique considerations and approaches for the collection, packaging and delivery of data-based solutions
Info-Management: http://bit.ly/1JPSGtX

 

« Cyber Insurance Policies: Worth the Money?
The Rules of Cyberspace Just Got A Bit Clearer »

CyberSecurity Jobsite
Perimeter 81

Directory of Suppliers

XYPRO Technology

XYPRO Technology

XYPRO is the market leader in HPE Non-Stop Security, Risk Management and Compliance.

DigitalStakeout

DigitalStakeout

DigitalStakeout enables cyber security professionals to reduce cyber risk to their organization with proactive security solutions, providing immediate improvement in security posture and ROI.

Resecurity, Inc.

Resecurity, Inc.

Resecurity is a cybersecurity company that delivers a unified platform for endpoint protection, risk management, and cyber threat intelligence.

Perimeter 81 / How to Select the Right ZTNA Solution

Perimeter 81 / How to Select the Right ZTNA Solution

Gartner insights into How to Select the Right ZTNA offering. Download this FREE report for a limited time only.

Cyber Security Supplier Directory

Cyber Security Supplier Directory

Our Supplier Directory lists 6,000+ specialist cyber security service providers in 128 countries worldwide. IS YOUR ORGANISATION LISTED?

Synology

Synology

Synology provides high-performance, reliable, and secure Network Attached Storage (NAS) products.

Cavirin

Cavirin

Cavirin’s Automated Risk Analysis Platform reduces risk and automates security and compliance.

Kenna Security

Kenna Security

Kenna Security is a risk intelligence & vulnerability management platform that helps prioritize and remediate vulnerabilities.

Sepior

Sepior

Our vision is to make Sepior the leading provider of cloud-encryption software in the world.

Sandia National Laboratories

Sandia National Laboratories

Sandia National Laboratories is a premier science and engineering lab for national security and technology innovation. Activity areas include Cyber and Infrastructure Security.

National Center for Manufacturing Sciences (NCMS)

National Center for Manufacturing Sciences (NCMS)

NCMS is a cross-industry technology development consortium, dedicated to improving the competitiveness of the US industrial base. Strategic initiatives include industrial cyber security.

Trustelem

Trustelem

Trustelem offers European and global companies a ready-to-use access management service that respects the principles of sovereignty, territoriality and privacy.

Cyber Wales

Cyber Wales

Cyber Wales provides a focus and forum for everyone in the industry, helping businesses come together and collaborate both within Wales and internationally.

3wSecurity

3wSecurity

3wSecurity provides visibility to your company’s internet facing systems throughout the security life cycle, allowing for a more thorough approach to vulnerability management.

Salt Cybersecurity

Salt Cybersecurity

Salt Cybersecurity offer a four-pronged approach to information security that includes Custom Security Policy, Vulnerability Assessment, Threat Detection, and Security Awareness Training.

NordLayer

NordLayer

NordLayer is an adaptive network access security solution for modern businesses — from the world’s most trusted cybersecurity brand, Nord Security. 

FortifyIQ

FortifyIQ

FortifyIQ's mission is to advance maximum security against side-channel attacks across the entire computing spectrum.

Emerge Digital

Emerge Digital

Emerge Digital is a technology and digital innovation business and Managed Services Provider providing solutions to SMEs.

Eden Data

Eden Data

Eden Data is on a mission to break the outdated mold of traditional cybersecurity consulting. We handle all of your security, compliance & data privacy needs.

Anura

Anura

The world’s most accurate ad fraud solution protects your web assets by eliminating bots, malware and human fraud, ensuring your content is seen by real people.

Wattlecorp Cybersecurity Labs

Wattlecorp Cybersecurity Labs

Wattlecorp Cybersecurity Labs are a group of IT security specialists, ethical hackers, and researchers driven to identify security flaws before cyber threat actors does.