Third-party data marketplaces are probably not something that the average person thinks about every day, yet they can significantly impact businesses around the world. A third-party data marketplace is essentially a database maintained by one or several companies specializing in the practice. They collate the data, and any business that buys in gets the benefits.
Why does having access to third-party marketplaces help businesses? There are a variety of reasons, not all of which could concisely fit inside a single article. However, here are some of the top reasons.
Centralized Sources of Data
One obvious benefit of third-party data marketplaces is that all data is stored in one centralized location. This makes it simpler for companies to receive the data necessary for running the business.
For example, once upon a time, a company would have to run their own research to stand any chance of getting a specific answer. Now, there’s a high possibility that the information they’re looking for has already been researched and is available for purchase.
Pooling Data
Storing this data in one location has another benefit – the data pool is generally larger. This means that companies can get a better understanding of the statistics they’re delving into. In other words, this data is larger than any one company could have ever hoped to accumulate on its own.
Surprise Gain
There will always be times when a company has to step up and do its own research. Sometimes, what they’re seeking to learn is too specific to apply to any other query. The good news is that, frequently, when this happens, secondary data is compiled alongside the research.
A company can turn around and see all of that secondary data. Recouping some of the costs that went into the original research at hand.
Limitless Data
Third-party data marketplaces aren’t limited to one niche or focus of study. It can aggregate data across multiple industries. This provides ease of access for hundreds of companies, including those that straddle the line between two sectors.
This is beneficial for two reasons. First, it means that a company should easily source whatever data they need, regardless of niche. Second, the natural implication is that the company can, in turn, sell data back to the marketplace should it become available.