Monetizing Big Data: How Companies Can Succeed
Big data is the next big thing. Companies are now able to capture, aggregate and sort data on every aspect of each customer’s evaluation and purchasing process, streamlining the sales process and identifying opportunities for new products and markets.
Small companies getting in on big data
Some companies are financially large enough to accomplish the three steps of collecting, aggregating and sorting big data internally, but most are not. Smaller companies need to partner with outside sources to be successful at monetizing big data. Fortunately, by using these outside sources, smaller companies are able to level the playing field against their larger competitors.
Collection and aggregation is, paradoxically, both the easiest and the most complex part of monetizing big data. It is the easiest because, once the data points are identified and the software is developed, the data is collected automatically. It is the most complex because big data software applications are specialized and require technology experts.
Relying on an outside source for big data collection also means that there is no need for every company to reinvent the wheel. Sharing among companies is one of the keys to monetizing big data and may be best accomplished through a hub-and-spoke model.
Analytics are key
According to an article by David Amerland of NetApp in Forbes, analyzing collected data appropriately is the key to unlocking its value. Using the correct analytics will enable companies to make more decisions based on fact rather than intuition. These decisions will be made in every department of an organization.
Information technology research firm Gartner, Inc., says that a key driver for the upcoming economic cycle will be mastering the analytics on big data. Companies are prioritizing business analytics and are willing to pay to improve their analyses and, by extension, their decision making. Those companies that are unable or unwilling to generate the data on their own can still benefit from using big data partners to gain leverage.