For the past two decades, the continued increase in online activity and information sharing has led to an incredible amount of data. People today often voluntarily will provide data to organizations and businesses through their social media sharing or online purchases. For those that are able to collect this data, it is very possible to turn the data into a very profitable business. There are several different ways in which an organization can monetize the data that they obtain.
Determine Customer Satisfaction
One of the most direct ways that monetization of data works is by being able to better determine overall customer satisfaction. When you provide a product or service to a customer, you will want to be able to tell whether they are happy with what they received. Since providing a good product or service is more likely to result in a return visit from a customer, you should use customer satisfaction survey data to improve your business. This will allow you to mimic or copy certain practices that have been successful in the past.
Fraud Identification
One of the biggest concerns that organizations of all types have today is over their ability to identify and prevent fraud. If you are a victim of fraud, it could put your business’s reputation at risk. However, when you use data to your advantage, you will be better able to identify this risk and you could be able to prevent it going forward. Once you have started using data to identify trends, you will also be able to identify less common behaviors. This could help you to identify red flags that could be signs of fraud.
Prevent Revenue Leaks
For those that are in the insurance or healthcare industry, it is very easy to lose money by losing data. For those that provide a healthcare service, it is common to be reimbursed for the actual work that is done. Unfortunately, due to the complexity of revenue and care reporting processes, it is very easy for an organization to lose some of this information. This can then lead to a direct reduction in total revenue. For those that are able to better track and organize this data, reporting accuracy and revenue will increase accordingly.
Marketing Intelligence
If you are going to use data, you could also use it to improve your marketing processes. When you use data to your advantage, it will be much easier for you to make better decisions about how to spend your marketing dollars. This should then result in a higher marketing ROI.
Sell Data
Finally, data is also a great tool because it can be sold directly. When you are able to collect customer data, you will have collected an asset that is very valuable to other parties. For example, if you sell certain products online and are able to aggregate certain types of data, it could be very valuable to someone in a related industry. You could then sell this data in an attempt to improve your revenue