Companies are using data to reach new markets, improve customer service and, in some cases, create new revenue streams by selling that information, the report said. “Data may not be on a balance sheet, but data is a company’s most valuable intangible asset, which can create a competitive edge in digital transformation.”
The analysts pointed to the example of how Chinese tech giants Tencent and Alibaba took on traditional banks in the country by introducing their widely-used WeChat Pay and Alipay digital payment services. Using the massive amount of user data these companies have collected over the years, they can create personalized financial services tailored to the specific behaviors and preferences of their customers, the IDC analysts said.
By 2025, the total amount of new data created is predicted to increase to 175ZB from 33ZB in 2018, the report said. Major growth drivers are set to be data collected from entertainment platforms, video surveillance footage, internet-connected devices, productivity tools, and metadata, which is vital for analytics and contextualizing the information.