Data is the foundation of a financial firm’s digital transformation agenda.
A data-led strategy guides how a financial services firm drives innovation and business growth. However, firms face practical challenges in managing their data, including the absence of a well-calibrated approach to handle large data sets, legacy infrastructure constraints, fragmented processes, and data governance gaps.
Data monetization can help firms transition to data-driven enterprises. It allows a firm to realistically evaluate its assets for business value. By monetizing data, firms can also drive innovation, which can bridge business silos, thereby fostering collaboration across cross-functional use cases. Combining data-centricity with an enterprise core requires firms to establish data quality, governance, and ownership practices. A strong data backbone accelerates a firm’s bid to reap outcomes across the business ecosystem.
Saleable data assets—a core requisite in business decisions and processes of customers—can be monetized directly. They comprise curated data and analytical insights with the potential for new revenue streams. Besides, firms can tap into the value of business context and the insights gained from a blend of business functions and processes as indirect avenues of data monetization. Examples of business context include enhancing customer experience through customized propositions and value-added services, augmenting process capabilities, increasing operational agility, and reducing business risks through distinct insights.
To understand how financial services firms can monetize their data and realistically evaluate and leverage their data assets, click here.