Regulation of Data-driven Market Power in the Digital Economy: Business Value Creation and Competitive Advantages from Big Data

Personal data and personalisation in media: experts’ perceptions of value, benefits, and risks

“…Invisibly (2021) reported user data improves profiling (defining user interests and preferences), trend analysis, product and service development (personalisation), UX, advertising impact ("targeting" the right message at the right time) and recommendations. From organisations' perspective, personalised recommendations can however increase privacy concerns, intrusiveness for users, poor data quality and biased recommendations may also compromise recommender system effectiveness (Fast et al, 2022). Fast et al (2022) derived six factors that facilitate organisations to establish "sustainable competitive advantages" (data-driven market power in the long-run), through which organisations can ensure that value creation and associated data sources cannot be imitated by competitors:…”

“…From organisations' perspective, personalised recommendations can however increase privacy concerns, intrusiveness for users, poor data quality and biased recommendations may also compromise recommender system effectiveness (Fast et al, 2022). Fast et al (2022) derived six factors that facilitate organisations to establish "sustainable competitive advantages" (data-driven market power in the long-run), through which organisations can ensure that value creation and associated data sources cannot be imitated by competitors:…”

“…Previous studies estimated economic and monetary data value (Carrascal et al , 2011; Malgieri and Custers, 2018; OECD, 2013; van Lieshout, 2015; WEF, 2013). From a resource-based perspective, firms can generate business value (in digital markets) from big (user) data, meaning increased customer retention, revenue from consumers and revenue from advertisers (Fast et al , 2022).…”

“…Invisibly (2021) reported user data improves profiling (defining user interests and preferences), trend analysis, product and service development (personalisation), UX, advertising impact (“targeting” the right message at the right time) and recommendations. From organisations’ perspective, personalised recommendations can however increase privacy concerns, intrusiveness for users, poor data quality and biased recommendations may also compromise recommender system effectiveness (Fast et al , 2022).…”

“…Fast et al (2022) derived six factors that facilitate organisations to establish “sustainable competitive advantages” (data-driven market power in the long-run), through which organisations can ensure that value creation and associated data sources cannot be imitated by competitors:…”