The data debate: why it’s time to collaborate

Following the data debate at last week’s Media Playground, Sky IQ’s Caroline Morris says the time is right for us to start sharing mutually beneficial data as we look towards a more collaborative future.

In today’s data driven world there are many ways of collecting information about consumers. As such, data has become one of the most important commodities available to brand marketers. Businesses are fully aware of the power that data can give them in the form of analysing and interpreting consumer behaviour, which allows them to make truly informed decisions.

However, not only are people consuming more data than ever, but they are also leaving an ever-expanding data footprint, which has left brands facing huge amounts of structured and unstructured information. And that brings up the inevitable question of how to manage and use it all.

This can be a minefield for many businesses keen to find out more about their customers, so it’s fundamental that brands and organisations know what they want to find out and achieve from the data before they start collecting it.

This was a hot topic of discussion at Media Playground last week, at which I spoke. On the panel, entitled Data Debate, we explored the different types of data sets which businesses need to draw on. The discussion hammered home the need for collaboration between bodies when it comes to maximising the value of data and using it effectively.

The rule books will tell you that it’s not about tracking and storing as much data as possible, but choosing and using what you have effectively. Companies need to identify what the primary business objectives and key performance metrics are to ensure the data collected has a purpose and fills in the necessary gaps to meet the business’ challenges and drivers.

On stage at Media Playground, Aki Tsuchiya, founder and managing director of Streamhub, discussed the large volumes of data which often fall by the way side and go unused. Aki asserted that of all the data collected, only 3% is actually used. This drives home the message that an effective filtering policy is vital to ensure the right data is being used to assist the task in hand. While there is always an aspect of data which is superfluous, it’s how well that data is used which sets businesses apart.

However, it’s also important not to overlook the role of combined data sets. Third party data is a valuable resource which can be used to enrich and supplement existing insight, to provide an additional layer of insight.

During another presentation at Media Playground, Paul Scanlan, co-founder of MobiTV, outlined how data can often tell us the how and what, but not the why. However, when combined with social data for example, we are able to get a better idea of sentiment and access a consumer’s feedback and gain an insight into their thought process.

In this sense, social data allows businesses to delve into the reasons behind purchase decisions to better inform their campaigns. Until now this would have been heavily reliant on research and claimed data.

The importance of actual behavioural data was a point further emphasised by myself in relation to Sky’s viewing panel, but also Gideon Adey, business development director, Kinetic Worldwide. Kenetic Worldwide works in outdoor advertising, which is inherently harder to measure in terms of effectiveness.

With the help of third party data sets, it becomes possible to identify how consumers react to the poster, the journey that consumer takes, and what happens afterwards in terms of purchasing patterns. The value of this insight comes in knowing what action that person has taken as opposed to making inaccurate inferences about it.

If companies adopt a more collaborative approach they will be in a better position to use multiple data sets to identify actual patterns of behaviour over guess work and close the loop on their campaigns.

Giving businesses information on people’s actual behaviour eliminates the danger of making decisions based on correlations from coincidental data sources. The challenge is ensuring we share data between companies and brands which can be mutually beneficial. There is an appetite and need for such collaboration but the next step is to encourage this collaboration across the industry.

As the number of channels through which businesses can market and advertise increases, so does the volume of data collected. For organisations this is a double edged sword. What is imperative now is that businesses learn to select and utilise the right data to make a difference to their business.

This is not about making business giving up their own data but rather recognising the benefits that collaboration can bring for all parties.

Caroline Morris is operations director, Sky IQ.

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