As big data continues to drive growth and innovation across all industries, it’s really little wonder that data marketplaces are exploding in popularity online. Organizations and corporations of every kind and size are looking to access a range of data securely and conveniently, and data marketplaces enable them to do just this.
The good news for you, as data users, is that this demand from data consumers makes your data pretty invaluable to countless businesses, making it a mutually beneficial opportunity. A data marketplace that facilitates transactional data services, allows buyers to purchase data and sellers to maximize their data monetization.
Join us as we take a closer look at data marketplaces and how you can use it to monetize and increase the value of your data.
What is a data marketplace?
A data marketplace is similar to other disruptive, innovative e-commerce platforms. Like Airbnb and Uber, a data marketplace acts as the ‘connector’ of providers and consumers, without owning any assets. These so-called two-sided markets, of which a data marketplace is an example, enable the exchange of data products and all types of data on a single platform.
It’s not only the buying and selling of ‘big’ data that data marketplaces offer. You can think of data driven marketplaces like any other online shop. In an era of rapid technological change where information is crucial for decision-making and data is prized as an asset, businesses and organizations that gain fast, simple access to a variety of data can solve problems and make decisions quicker than before.
What are examples of data markets?
You read right. There’s more than just one kind of data marketplace. It makes sense, right? The dizzying array of data being exchanged every second necessitates there being more niche, specialized data markets. Let’s dive deeper and explore several kinds of data marketplace offers.
Financial data markets
Usually, fintech companies and larger financial institutions may provide access to financial data on specialized data markets. You’ll generally find investors, traders and analysts looking for valuable open data. This is usually historical data or financial data found on niche financial data marketplaces.
Social media data marketplaces
Through application programming interfaces (APIs) or data marketplace partnerships, social networks allow access to user information. This could include data on interests, social connections, how users interact with posts, and demographic insights. A marketplace user could use this information for social media analytics, sentiment analysis and targeted advertising purposes.
IoT data marketplaces
The Internet of Things (IOT), which is a network of devices or sensors that transfer data to one another, allows for an enormous amount of valuable data to be collected. IoT data marketplaces typically connect device manufacturers, for example, with data buyers in sensor data and real-time analytics.
Data brokers
A data broker aggregates data from sources such as archives, surveys, and online activities. They then sell this information to data buyers like researchers and marketers.
E-commerce data markets
Online platforms often sell customer, product and transactional data to potential buyers. This can be used for a range of activities, like targeted advertising.
Personal data marketplaces
These marketplaces pay consumers for data sharing on a consent-managed basis. Therefore, someone agrees to share specific pieces of internal data about their in-app behavior or profile attributes with the personal data marketplace. They usually get paid or compensated in some way for doing this.
Personal data marketplaces are shaping the external data industry in innovative ways. Invisibly, for instance, provides a safe, secure platform that enables users to exchange their data for ungated access to a variety of premium online content and media publications.
Why is a data marketplace important?
Data marketplaces facilitate the exchange of data through accessible, cost-effective and secure platforms. These rich ecosystems allow data to be monetized and used to drive decision-making. Ultimately, this leads to advancing innovation and improving research processes.
What is the difference between a data marketplace and a data mesh?
As we’ve mentioned, a data marketplace is an ecosystem where data is bought, sold or exchanged between buyers and sellers. The marketplace is the “middle person” and facilitates data exchanges. The data marketplace enables data providers to monetize their data while allowing consumers to access and use invaluable data assets.
A data mesh, on the other hand, is an organizational approach to data management to decentralize ownership and governance in an organization. Individual teams or domains are responsible for services and data products.
An example of a data mesh includes the concept of Data Product Thinking. A team treats their data assets as quality and usable products, beneficial for businesses. Another example is Data as a Service (DaaS) where teams expose their data products as services that other teams can access and monetize.
Are data marketplaces safe?
Good question! Any trustworthy, established data marketplace should be 100% safe for both data providers and consumers. Data providers should conduct data collection in line with local regulations and according to national and global best practices. Any personally identifiable information should be aggregated to protect a person’s privacy.
A reputable data marketplace will screen and approve data providers. As an added step, a data marketplace will likely implement some sort of cybersecurity procedures or even Blockchain integrations to ensure that exchanged data streams are always encrypted and protected.
It is always a good idea to do some research beforehand on any data marketplace you’ve got your eye on to ensure you’re comfortable with its privacy and security protocols.
Regain control of and maximize the value of your personal data with Invisibly
As a safe, secure, and innovative data marketplace, Invisibly puts the power of your data directly in your hands. How does it do this? We’re glad you asked! Invisibly allows you to maximize the value of your data and earn brand rewards for it. All you need to do is:
1. Create an Invisibly account, fill in your profile information to tell us more about you, and start earning points right away.
2. Earn points from answering surveys or connecting your account(s). Invisibly will not have access to your credentials, balances, or be able to perform actions from your connected accounts.
3. Use your points to redeem premium rewards from our growing roster of brands like Target, Best Buy, Ulta Beauty, and many more.
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