This document discusses the rise of data and data-driven business models. It notes that unprecedented volumes of data are being generated from sources like the internet, smartphones, apps, and IoT devices. This presents both challenges and opportunities for businesses. The author analyzes over 500 UK startups utilizing data and finds that most focus on B2B services using a subscription model. Many are building platforms to connect various stakeholders around data sharing and analytics. Successful data businesses develop scalable and defensible platforms that benefit from network effects. The document examines examples of both large and small data-driven companies and their business models.

1. DATA
Driving Innovation &
Competitive Advantage
Dr Martin De Saulles
Principal Lecturer
University of Brighton
March 2019

2. THE BUSINESS OF
DATA
2015 2017
2020

3. T H E
C O N T E X T

4. “As much data
was generated
every day in 2013
as took 5,000
years to create up
to 2002”
T he Internationa l Te l ecommunications Union ( I T U ) , 201 5

5. DROWNING IN DATA
Source: EMC, IDC (2017)

6. WHERE
IS IT ALL
COMING
FROM?

7. T H E
C H A L L E N G E

8. Google search index contains
hundreds of billions of web pages
> 4 billion apps
2.7 billion smart
phone users
27 billion IoT devices

9. SUSTAINABLE
BUSINESS
MODEL
MATCH DATA TO
MARKET NEED
UNIQUE DATA /
UNIQUE
CONFIGURATION
HANDLE DATA AT
SCALE
ADAPT TO RAPIDLY
EVOLVING MARKET
DATA-DRIVEN SUCCESS

10. T H E
O P P O R T U N I T Y

11. CONFLUENCE OF…
• UNPRECEDENTED VOLUMES OF
DATA
• RAPIDLY GROWING VOLUMES
OF DATA
• MATURING TECHNOLOGIES /
USER BASE
• FALLING COSTS OF DATA
CAPTURE, STORAGE, ANALYSIS

12. M Y
R E S E A R C H

13. CURRENT RESEARCH
• Analysis of UK start-ups and
high-growth companies
utilising data-driven business
models
• Identified 542 companies that
fit this category
• Detailed analysis of random
sample of 100 companies
• Ongoing research into those
building platforms

14. THE BIG

15. “BenevolentAI develops artificial intelligence
and machine learning technology that aims to
speed up scientific discovery through mass
analysis of scientific data. The company also
specialises in applying this technology to the
human health and bioscience research
sectors.”
“DataSift empowers organizations to
harness the power of human data in real-
time.”
Sentiment Analysis
Big Data Services
£136 million raised
£44 million raised

16. THE SMALL

17. “Hexxcell has developed software, for use in
the oil and gas industry, which measures and
predicts when crude oil fouling will occur in oil
refinery heat exchangers. The software
schedules appropriate cleaning times
according to these predictions, making the
heat exchanges run at optimal efficiency.”
Niche Industrial Applications
“Price Trakker has developed software that
extracts and analyses product price
information from websites. Subscribers can
use this software track and compare
competitors' prices.”
Web Scrapers

18. B2B = 80% B2C = 10%
B2B + B2C
= 10%
Based on random sample of 100 companies from 542 UK-based data-driven startups
Data-Related
Services
Data
Providers
Data
Creators
Data
Aggregators
Subscription Advertising Consulting Product Sales Commission Unknown
Sector
Activity
Revenue
Model

19. B2B = 80% B2C = 10%
B2B + B2C
= 10%
Based on random sample of 100 companies from 542 UK-based data-driven startups
Data-Related
Services
Data
Providers
Data
Creators
Data
Aggregators
Subscription Advertising Consulting Product Sales Commission Unknown
Sector
Activity
Revenue
Model

21. WHAT DO
THEY ALL
HAVE IN
COMMON?

22. PLATFORM STRATEGIES
•Buyers
•Developers
•Suppliers
•Users
Network
Effects
Scalable
Profitable
Defensible

23. “Torafugu Tech is developing
an online analytics platform
for insurance companies and
health professionals that uses
data from wearable devices to
assess the users health, make
risk predictions and
recommend how they can
improve their health and
fitness.”
eHealth / Insurance
“Homeppl has developed a
platform that allows
tenants to create profiles
containing their rental
history and reputation,
which allows letting
agencies to select
appropriate tenants based
on their authenticated
credentials.”
Home Rental
“HATDeX operates The
Hub of All Things, an
online platform that
allows users to
organise, control and
exchange their
personal data within
private digital
accounts.”
IoT

24. T H A N K
Y O U
Martin De Saulles
mrd@brighton.ac.uk
@mdesaulles