Book Image

The New Oil: Using Innovative Business Models to turn Data Into Profit

By : Arent van 't Spijker
Book Image

The New Oil: Using Innovative Business Models to turn Data Into Profit

By: Arent van 't Spijker

Overview of this book

Data, at present, has become one of the most valuable resources, driving our economy by impacting every single industry in today’s global market. This book is all about how data plays a dominant role in making crucial business decisions. The book begins with an introduction to the variation of business trends through the course of time and the factors involved. You will study the three major drivers of change, including the connected economy, the internet of things, and the co-creation. Once you know how and why the market shifts, you will understand the data’s significance and how it became a key asset for the majority of firms to facilitate accurate business decisions. In the concluding chapters, you will learn how companies achieve data-driven strategy implementation through its four crucial characteristics. By the end of this book, you will have thoroughly explored the potential of big data and developed a possible approach to monetize it.
Table of Contents (4 chapters)

8 - Pattern 1:
Basic Data Sales

How repackaging waste
contributes to the bottom line

One of the simplest ways to monetize data is by simply selling it. The predisposition from which this monetization arises is that the company owns data that third parties are willing to pay for. The business model is simple: dollars for data. Although in some cases, data will need to be analyzed, repackaged and relabeled before it can be sold as product. Years ago, when I first proposed to an organization that it could resell its data, its senior management thought the idea to be preposterous. A company simply couldn’t go about selling its data. I told them the following story.

Some time in the 1990s, a Norwegian company called Hydro Agri was leading the global market for so-called ‘compounded’ fertilizers for agricultural use, with an estimated market share of around 20%. The applications for their fertilizers ranged from increasing crops yield in traditional agricultural...