By Ankit Chaudhari
Every day, there is an incredible amount of data being generated and gathered by businesses across verticals. In today’s tech-driven business landscape, this data is often highly valuable. Almost all our online activities, from watching movies and shopping to browsing through social media, every bit of it is accounted for and collected as consumer data.
How many times have we noticed that once we search for, watch, or read any information online, we start seeing related advertisements and promotions on our screen? These are hyper-targeted marketing campaigns based on consumer data. More often than not, this data is used without the consumer being compensated for it. This may be seen as a breach of privacy or data appropriation (collecting data from people without consent or compensation) by most people.
To address this issue, brands are now seeking consent from customers before accessing and utilizing their data. Moreover, they are giving consumers access to the exact information that is collated. And, to make this process engaging for consumers, brands are leveraging the concept of engaged marketing. This essentially allows brands to collate data in a manner that is inclusive and engaging for customers. How do brands do this? Let us take a look at how data and engaged marketing are at the forefront for businesses.
The problem: Unusable data for the common man
Contrary to popular belief, brands that collect consumer data actually do allow them to access it. They are not taken away from the consumer. If the consumer has access to his/her data, where exactly does the issue lie? The problem arises in the format in which the data is released. A major chunk of the data is unusable to common people who are not tech experts.
This is because it is released in an encrypted form or comes in hundreds of files that are not easily readable. Ultimately, it does not serve the purpose of consumer engagement or inclusion when it is the consumers’ data being utilized for the brand to earn additional revenues. To add to this, there is a lack of privacy when companies are accessing data from consumers.
A comprehensive solution
To resolve the issue of data appropriation and drive engaged marketing, brands are now coming up with innovative tech-led solutions which will compensate the consumer and allow the brand to use the data. By enabling consumer-to-business data transactions, businesses are now facilitating the method of the consumer choosing the data that they would like to share with companies. The consumer-to-business data transactions are much more effective since the data collection and usage would be done ethically. Making use of applications to monetize data, companies will be able to access richer, more accurate data ethically, while users are compensated directly in the form of rewards such as money or other benefits like coupons, discounts, and so on.
Technology is progressing at a breakneck pace and data is at the core of it. By the year 2030, it is estimated that 70% of the companies will adopt at least one type of AI technology. As further adoption of cutting-edge technology continues, the economy will only become more data-driven. With the data ecosystem growing day by day, we are bound to witness an increasing number of consumers and businesses gravitating towards the consumer-to-business data transactions in the near future.
The author is CEO and founder of Aiisma
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