Companies face a strategic imperative to maximize profits from their assets — from infrastructure, to people, to data. While data can be used internally to fuel growth, there is a growing data marketplace that provides a new opportunity to drive top- and bottom-line growth. How best to leverage this new potential revenue stream must be seriously considered. Improperly implemented data monetization models devalue data over time, expose an organization to security risks, and result in a loss of customer trust. However, with the right technology, partnerships, and strategy organizations can fundamentally benefit their market capitalization by commercializing their data assets.
Accessing data markets is a primary use case of LeapYear. LeapYear enables private, secure sharing of data for generating insights while never modifying or moving data off data owner’s systems. This new paradigm opens pathways for unique and valuable datasets to be monetized safely, all with strict control at the data owner system boundary. Monetization strategies may take two approaches to market:
- Via LeapYear’s Data Markets Partner – LeapYear has partnered with a leading bank to provide turn-key access to evaluate and commercialize datasets to the financial services industry. LeapYear provides the technology to ensure data privacy, analytic value, and scalability while LeapYear’s partner provides a vehicle to take the data to market, including marketing, pricing and distribution. With LeapYear’s leading technology, and our partner’s access to hundreds of data buyers, customers are seeing unprecedented time to revenue with our private and secure software.
- Via a Do It Yourself Model – Customers are free to establish their own paths to the data market, with LeapYear providing the API gateway for access. Once the LeapYear platform is implemented to protect their assets, data owners open direct business relationships with data consumers on their own.
Accessing Data Markets Through LeapYear
A major healthcare company holds sensitive data, including medical and pharmacy claims. This information is valuable for understanding the performance of specific drugs and therapies, as well as macroeconomic trends in the healthcare industry. There are many applications of this data across industries such as healthcare, pharmaceuticals and investment research. Prior to partnering with LeapYear this organization made available only a restricted version of the data to a limited set of partners. Because of HIPAA regulations, the data needed to be de-identified or anonymized before it could be shared. Traditional approaches of de-identifying the data
- are inefficient – these protection methods need to be re-evaluated when data changes or is combined with other data
- are not secure – these methods result in data leaving the organization’s four walls and have been reverse engineered to expose personal health information, and
- limit value – they remove or aggregate valuable data points, such as time and location
Through LeapYear’s technology and partnerships, the healthcare company was able to make a richer and broader version of its dataset available to a wider market of data buyers. The healthcare provider is now offering insights from previously inaccessible fields, as well as entirely new datasets, through the LeapYear platform, all while substantially enhancing privacy and security and maintaining compliance. By partnering with LeapYear, the healthcare company is capitalizing on previously unattainable business opportunities worth in excess of $100M.
Do It Yourself Model
A major broker has thousands of clients who produce massive amounts of valuable financial data. This data is useful for clients in many ways — investment research, benchmarking, and trading. Prior to LeapYear, the broker did not commercialize this information in order to protect client confidentiality; a situation where one client could reconstruct confidential information about another client was a non-starter. The broker had considered traditional approaches, which involved aggregating data before it was commercialized — the challenge with these methods was that they did not provide sufficient value, limiting the broker’s revenue from the data, and clients would still discover privacy vulnerabilities.
By leveraging LeapYear, the broker is able to utilize the data for a broad range of use cases including reporting, benchmarking and machine learning. Now, the broker is commercializing this data both as a direct data product for clients and by developing new products and services based on the more detailed information content. LeapYear ensures that the broker can freely pursue new revenue streams and provide greater value to its clients while preserving the highest standard of privacy and confidentiality.