Global Data Monetization Market

Global Data Monetization Market Size (2023-2028)

The global data monetization market size is likely to grow from $ 2.3 billion in 2022 to $ 6.1 billion by 2028, registering a compound annual growth rate (CAGR) of 21.7% during the foreseen period.

Data Monetization Overview:

Data monetization can be defined as the process of using data or data-driven products to generate monetary value. Data products can be based on raw, refined or analyzed data. Data monetization leverages data generated by business operations, along with data associated with individual factors and electronic devices and sensors that contribute to the Internet of Things (IoT). This data is used to generate valuable information for the organization to generate new sources of revenue.

Data has become a central resource for the majority of the organization in order to remain competitive by getting the maximum value from various types of data. The exponential growth of IoT devices, increasing internet penetration, accessibility of data at lower speeds, and increasing adoption of external data sources are driving the generation of big data at an ever-increasing rate, enabling businesses to leverage of this data through advanced analysis and visualization tools to obtain effective data. Motivated decision-making leading to increased profitability.

Recent Developments:

• In January 2020, Cisco introduced an IoT security architecture that provides improved visibility into IT and IoT environments and protects processes. New Cisco solutions enable data collection and extraction from the IoT edge so businesses can increase their efficiency to make better business decisions and accelerate digitization projects.
• In October 2019, SAP SE and Verizon announced a collaboration that will enable applications to process data wherever it is generated from an assembly line to a retail store shelf, helping businesses save time and increase their productivity.

Impact of Covid-19 on Data Monetization Market

The spread of the Covid-19 pandemic has affected all end-user industries around the world, but in a different way. Manufacturing has had a negative impact, while the need for health care has increased. These variations have a significant impact on the data generated and monetized. Since most of the businesses are supported by online services, work from home practices, customer indulgence on online platforms has increased, therefore, the number of data monetization opportunities.

For example, in June 2020, the National Institutes of Health launched a secure and centralized enclave as part of the National COVID Cohort (N3C) collaborative initiative to store and study large amounts of data from the medical records of those diagnosed with coronavirus disease, and is made available to researchers and healthcare providers that is used to develop treatments.

Market Growth and Trends:

Increasing volume and variety of business data is expected to drive market growth

• According to Cisco's annual Internet report (2018-2023), nearly two-thirds of the world's population will have access to the Internet by 2023. There will be 5.3 billion Internet users in total by 2023, up from 3.9 billion in 2018. This will increase the amount of data generated and therefore indicate an increasing trend in data monetization.
• Additionally, a growing number of M2M applications, such as smart meters, video surveillance, healthcare monitoring, transportation, and package or asset tracking, are contributing significantly to the growth of the connected devices and data monetization. By 2023, M2M connections will represent half or 50% of all devices and connections.
• On the other hand, consumer data has grown in both structured and unstructured formats. The rise of e-commerce and social media has changed the buying behavior of consumers. Therefore, industry players are leveraging this data to improve their business strategies by gaining real-time insights. This information is typically used to optimize supply chain management, operations, sales and marketing, etc. For example, in 2019, Google LLC posted ad revenue of $ 134.81 billion, an increase of 15.76% over 2018, indicating an increase in ads.

What are the factors driving the data monetization market?

• The global data monetization market is driven by increasing data volumes, as well as improved capabilities to collect a wide range of data types. Companies have a large amount and variety of data. Consequently, companies are focusing more on using this data in their business processes to improve processes and identify or estimate future trends. The global data monetization market is expected to grow significantly over the forecast period due to the high adoption of data monetization by mobile operators and the BFSI industry. The emergence of Over-The-Top (OTT) services has led to a gradual loss of revenue for high-end Communication Service Providers (CSP). Therefore, the need for a robust infrastructure configuration has increased dramatically.
• However, concerns about data ownership and privacy are relatively high, which is acting as a serious threat to the global data monetization market. The framework for the collection of personal data is fragmented based on national and regional laws and regulations governing the scope of permitted processing / analysis and transfer to third parties with and without consent.

GLOBAL DATA MONETIZATION MARKET REPORT COVERAGE:

Market Segmentation:

The worldwide data monetization market has been mainly segregated based on the component, method, vertical industry, and application.

Global Data Monetization Market - By Component:

On the basis of the components, the market can be segmented into platform, software (standalone, suite) and services (professional services and data as a service).

Global Data Monetization Market - By Method:

the market has bifurcated into direct and indirect monetization.

Global Data Monetization Market - By Vertical Industry:

the market has been categorized into Telecommunications, E-commerce and Retail, BFSI (Banking, Financial Services and Insurance), Health, Travel and Logistics, etc.

Global Data Monetization Market - By Application:

the market has been divided into sales and marketing, supply chain management, fixed asset management, remote equipment monitoring, etc.

Regional Analysis:
From a geographic perspective, North America is expected to have a significant share of the global data monetization market. The growth in this area can be credited to the increasing implementation of the data monetization components, along with the presence of leading players in the USA. The Asia-Pacific is foreseen to expand rapidly in the future because of the rising penetration of digital services like Internet of Things (IoT), OTT, cloud, mobility, and artificial intelligence (AI). Furthermore, the Middle East and Africa (MEA) and South America data monetization markets are also foreseen to expand significantly during the outlook period.

key players

Major players featured in the global data monetization market report include Adastra Group, CellOS Software Ltd, Connectiva Analytics and Insights Ltd., Dawex Systems, Infosys Limited, Mahindra ComViva, Mnubo, Netscout Systems, Inc., Paxata, Inc., Optiva Inc., (Redknee Solutions Inc.), ALC, SAP SE, SQLstream, Inc. and Virtusa Corporation.