As companies dig more deeply into their digital transformations, they’re finding more data that has value. They’re putting it to work to drive efficiencies and improved customer experiences. But there’s another card in the data deck to play: commercializing data for revenue.
For example, LexisNexis has spun out its legal-spend data into a software-as-a-service offering to help companies better manage these expenses. And telecom companies Telefonica and Singtel sell data-insight analysis of their network traffic and call-record data.
The trend is picking up steam. Gartner predicts that by 2022, 35 percent of organizations will buy or sell data.
However, it’s not as simple as exporting data and selling it. Organizations must first understand what data value they can offer; followed by how to distribute and make the data accessible in a safe manner. Doing both requires the right analytics tools to uncover where value exists.
Uncovering data value
There are several ways to bring your data to market, according to research firm Forrester, such as delivering descriptive insights and self-service analytics, and offering data-derived insights services.
The key is uncovering opportunities to commoditize the right data. In other words, IT leaders have to determine the differentiating value of their data. That can be a tall order, considering upwards of 80 percent of organizational data is “dark,” sitting unseen and unused in segmented silos.
Forrester suggests a couple of first steps:
- Understand what data assets you have. Not all data is marketable. Use a product development process to pinpoint viable opportunities.
- Collaborate with peers. If you have a chief digital officer, start there. Or, work with lines of business such as sales and marketing to identify commercial opportunities.
- Improve data quality. This doesn’t have to be as difficult as it sounds. With the right tools, users can easily combine data sources and cleanse data to ensure quality.
- Work with experts. Commercializing data isn’t a core capability for most enterprises. Find the right partner by asking vendors about their expertise in bringing data to market and how the platforms and tools they provide deliver actionable insights.
The right tools uncover value: A case study
Konica Minolta Healthcare, a leader in medical diagnostics solutions, recognized the need to explore new business models. Digital-based imaging equipment was rapidly entering the market — providing cost efficiencies in production, while also lowering barriers to entry for new competitors.
To stand out, Konica developed a device analytics solution called AeroRemote Insights. Initially, it provided customers with a monthly PDF detailing equipment usage and performance data. The solution was successful, yet not entirely scalable. Company leaders wanted to make the information more interactive, while finding a way to transform its raw data into deeper, actionable insights.
Leveraging Domo Everywhere technology, Konica dug deeper into its imaging solutions’ technical configurations. By using embedded and extended analytics capabilities, Konica has transformed equipment data into intuitive visualizations and dashboards that its AeroRemote Insights service now delivers to customers.
For example, organizations can easily view the performance of their X-ray systems to glean asset utilization, department efficiency, imaging system health and more.
The results have been a win-win for customers and Konica. AeroRemote Insights “gets us the data without the interminable work to calculate,” said Marion Anderson, Diagnostic Imaging Manager at St. Bernard Hospital.
Kevin Chlopecki, Vice President of Service Operations at Konica, added: “Our customers use AeroRemote Insights to improve productivity, and our customer support teams use it to proactively assist our customers.”
The bottom line: this solution has resulted in a 472 percent return on investment for Konica, according to Nucleus Research.
Many IT leaders are already delivering business intelligence insights internally for new and growing business value. Consider if it’s the right time to take the next step and commercialize actionable data for external business value and new revenue streams.
Start tapping into opportunities to bring valuable data to market; learn more here.