Note: Image above adapted from Excelacom
A popular concept for explaining Big Data is that of the 4V’s (Velocity, Volume, Variety & Veracity).
However to evolve this in to a more rounded concept to aid Digital Innovation (as Data, in some form, drives much of Digital Innovation) we need to look at the 5V’s (Velocity, Volume, Variety, Veracity & Value). 5V’s examples are given in the diagram above.
If we take Retail for example; the likes of Tesco and Sainsbury’s are very good at extracting value from data. The likes of Amazon take it to the next level and base their business model on it (product offerings, delivery/ supply chain, personas > personalisation of user experience, LTV optimisation, etc)!
It’s also worth noting that this same model can be used for the digital marketing/ communication element that sits on top.
Veracity: Build Trust (I post about Trust here).
Velocity: Pace (I post about Velocity here).
Volume: Too much going out or too little coming in (I post about volume/ transformation here).
Variety: The ‘right’ mix (I post about the marketing mix here)
Value: To the user and organisation e.g. reciprocity (I post about Reciprocity here)
Summary: Big Data, and the 5 V’s, should inform your Digital Innovation & communication strategy > activity.