MIT Sloan Management Review Article on Demystifying Data Monetization

Companies have figured out that data can be used in day-to-day operations to reduce costs and grow revenue.

Every company operating today is a data company. Most have access to an array of data on their supply chains, operations, strategic partners, customers, and competitors. Yet most companies are leaving money on the table, with only one in 12 monetizing data to its fullest extent. Data on its own has value, but insights derived from data substantially increase that value. These insights can be used to direct activities as varied as customer segmentation, demand and churn prediction, pricing optimization, retention marketing, and cost management — and they can also command even greater margins when sold externally.