Why You Should Invest in Using Smart Data
Date: 21 March 2016 Share on Twitter Share on Facebook
The emergence of smart data as a big deal for businesses in recent years has been remarkable. The scale of data being generated is now growing at an incredible pace and estimated to double with every two years that passes.
But all this data is not necessarily valuable and it remains to be seen just how its potential can and will be exploited. What’s certain though it’s that smart data solutions will be a key element of this equation and that the field will be an increasingly important focus of investment worldwide.
What is smart data?
The prevalence of social media and the scale of information being generated by platforms like Google and Facebook means that trends in consumer behavior can be detected more accurately than ever before. Compare this to its elder brother big data, where information doesn’t always make good sense. Smart data is best described as a perfect marriage between statistical information and intelligent analysis. It analyzes tons of information and extracts useful patterns and signs with sophisticated algorithms. This what makes it a good investment all the data in the world is practically a waste if not layered with intelligence.
When smart data is used in these contexts the potential of these insights becomes enormous for advertisers who can micro-target their ads, but also for businesses more generally for all manner of novel purposes.
Meeting the challenges of free information
One of the key problems to emerge in these contexts though is that not everyone wants their data and their clicks to be recorded, shared and exploited wholesale via smart data solutions. Indeed, there has already been something of a backlash against the unencumbered use of information and privacy rules will likely make the use of smart data more difficult in certain areas in years to come.
It’s also important for any company deploying smart data to guard against drawing inaccurate conclusions or correlations from the data sets they gather and aim to use. And an emerging industry of smart data solutions offers exactly that.
The access we all have today to free information online means that we are generating data on an increasingly vast scale. But there is no doubt that consumers will have issues with just how freely shared that information subsequently is. So for companies looking to use smart data there is a clear imperative to focus on giving consumers the choice to opt out on data issues and to set privacy policies as they’d like them with full transparency on the subject. This clarity makes investors’ lives easier too.
There are already a myriad of investment opportunities being opened up in relation to smart data and a range of associated developments. Many of the world’s largest companies are increasingly focused on ways in which they might use smart data to gain strategic advantages and smaller specialist smart data innovators are emerging all the time.
Clear potential for investments in smart data exist now in the context of all manner of marketingrelated solutions, through which organizations can tailor their online and mobile advertising efforts much more precisely. Plus smart data solutions look sure to have a huge impact on the ways in which energy infrastructures, transport networks and even entire cities are managed, monitored and interconnected worldwide.
Any investments and innovations that make a real difference in these areas is sure to be valued by businesses and by the rest of us as well.