Getting a basic understanding of a company’s predisposition to Competing on Information is an important first step, a catalyst even, towards information-driven business models. For example, analysing what information is currently available and what information could be ‘easily’ obtained from both internal and external sources may help to reveal entirely new business ideas.
The predisposition to Competing on Information can be determined on the basis of relatively straight forward factors such as:
- Number of transactions
- Frequence of customer contact
- Real time, location based insight
- Combinations of information types
- Availability of channels for gaining and distributing
- Availability of analytical resources
Transactions generate valuable information and more transactions equates to more information. Customer contact is a key opportunity for generating, obtaining and using information and recurring contact increases the number of information opportunities. Real time, location based information forms highly valuable input for delivering relevant offers at the right place at the right time. Combining information from several sources presents more valuable opportunities than stand alone data. Having channels in place to collect and distribute information increases the amount of information and its potential use. Having analytical resources in place is an elementary enabler of logical and useable information. All these factors contribute to the amount of information, added value of information and the ability to turn information into value.