How Data Monetization Can Add Value To Your Analytics
Even if you already have analytics processes in place, data monetization can help you take your information to the next level. Here's how.
If you have any sort of analytics system in place right now, then you’re more than likely not getting as much value out of it as you could. Data monetization refers to the way that companies are able to get real financial benefits out of data sources that they already have.
You might be collecting location information from consumers who use IoT (Internet of Things) sensors or your mobile app if you’re involved with any kind of next-gen web company. Even traditional businesses are collecting more data about how consumers search for and find products and services they’d like to purchase.
By leveraging this data against the traditional databases you probably already have, you might be able to streamline your operations and find revenue streams you didn’t know existed.
Monetizing Big Data on the Largest Levels
Many of the world’s largest tech companies are no longer focused on optimizing costs so much as they’re geared toward delivering the best user experience possible. These firms are looking to collect behavioral data during regular customer interaction with their products. Proprietary data collected in this fashion is legal to use, as is information that companies collect from monitoring social media and the way clients use their web pages.
Researchers perform analytics to draw insight from this data. Once they’re done, large firms develop a plan of action to add new methods of customer communication that streamline the experience. Some firms have opted to go with triggered notifications in apps or on their sites that help to convert leads into actual sales. Others have completely refocused their campaigns because they found that the previous methods they used for promotion just didn’t work.
Blockchain is a Link for Big Data Processors
Blockchain has become such a buzzword that many media personalities now use it incorrectly. It refers to a huge linked list of records organized into blocks that are linked together with a cryptographic hash. This helps to prevent tampering, which means data stays put once it’s written.
Peer-to-peer networking systems are used to reduce the processing load on machines with blockchain ledgers deployed on them. While this technology was originally developed for use with cryptocurrency platforms, it’s inadvertently created a system where content creators are able to sell content without needing a central authority to monitor it.
This means the companies that create large amounts of data are able to profit from it directly by cutting out the middleman and selling it right to firms who need it. One company used it to produce massive databases full of 3D images that online retailers and VR developers can use. They’ve been able to set their own prices and haven’t had to transfer a single dime to an outside conglomerate. Other companies specialize in combining Big Data and Blockchain to bring new insights and increased profits to businesses, while also offering all the benefits of decentralized systems.
Financial institutions are now putting the technology into play as well. Those who’ve adapted to it have been able to deploy much simpler server infrastructures to manage clearing information than those who continue to use traditional methodologies.
SMBs Stand to Benefit More than Anyone
You might be saying to yourself that none of this applies to you because you don’t have an operation that’s as large as any of these examples. Email monetization can benefit even the smallest companies, since it leverages data collected through the least expensive avenue possible.
If you’re asking yourself what is email monetization, then you might be surprised that your company is already probably doing some form of it. Anyone who maintains a database of leads and uses it to reach their consumers directly are monetizing their email list.
Small business owners can benefit from changes in how they look at this data more than anyone else. They have the most room for growth, after all.
Plug your existing email data into a low-cost analytics engine. Find out which of your email campaigns did well and which didn’t. Replay your best campaigns to leverage past success. If you’re an established authority in your field, then you might even be able to get people to subscribe to premium content in this way.
Another great example is advertising platforms. The competition for this is huge, since modern methods are super-precise. Forget about the annoying popups of the previous decade – modern-day ads target very specific demographics and change based on various factors, like geographic location, for example. Data that feeds the popular ad platforms is the new oil – everyone wants some, and the prices are through the roof.
Data Monetization Builds Networks
Take a good look at all the links you’ve collected in your database while you’re at it. Lists of links like these are where affiliate programs start. Whether you’re managing a small email list or a blog, linking with other people can generate leads and help you turn your data into money.