Companies are actively preparing to monetize their data, finds a new report released by The Economist Intelligence Unit (EIU).
"The Business of Data," sponsored by NTT Communications, surveyed 476 senior executives worldwide to find that almost 60% of organisations are already generating revenue from their data and will continue to do so, with the rates higher in Asia (63%) than in North America (58%) and Europe (56%).
A majority or 83% of those polled say that their firms have used data to make existing products and services more profitable, and over two-thirds (69%) feel that there is a case for starting a new business unit dedicated to developing data-related products or services.
Safeguarding customer privacy remains a key concern as companies seek to profit more from their data. While 86% of survey respondents say that their customers trust them with their personal data, only one-third of executives say that their firms are “very effective” at being transparent with customers about how they use their data and 9% admit to being “somewhat” or “totally ineffective.”
“Differences have emerged in the way companies, regulators and individuals are preparing for a world where data are increasingly seen as a commodity in their own right," according to Naka Kondo, the editor of the report.
"The data literacy of individuals and of regulators will be crucial in defining the value, risk and benefits of data. Data considerations should be of prime strategic importance in the next three years, especially for companies looking to capture future opportunities in an expanding and changing market.”