4. Big Data Driven Business Models

This chapter outlines the concept of ‘big data driven business model’ and utilizes it to describe a set of businesses that rely on big data to achieve their key value proposition and to substantially augment their value proposition to differentiate themselves in order to gain competitive advantage. It describes the impact of big data on each of the elements as identified in the Business model canvas. Also the chapter discusses the potential of big data for mass customization and personalization of product and services, as a value proposition in its own right, on B2B and B2C logistics as well as for customer relationship management and customer service. It also touches upon how big data has facilitated a shift in our conceptions of utility as opposed to resources as the basis for socio-economic value creation. Also, the chapter explores this issue a bit further by understanding the implications of big data on partnerships, monetization, and the opportunities and challenges it raises for accounting, budgeting and performance metrics. In conclusion, the chapter acknowledges the synergistic potential with other emerging technologies such as 3D printing, Robots, Drones, self-driving cars, and the like.