Over 30 years ago it was introduced. A loyalty card. It sounds crazy but it is not. The idea was to offer loyal customers with additional benefits. Brilliant idea, is it not? Well, the CEO saw the privacy issues. After a few months, the firm knows more about the customers than they did in 30 years.

Rockefeller, Rothschild, Nobels, Gettys. They became multi-billionaires and well-renowned names. Al thanks to there oil and Gold holdings. The 2 most precious resources in the world. But this is going to change. Data is the most precious commodity.

A good database is more profitable than oil. What is the reason that multi-billion valued energy companies are investing in big data and data? They use the data to operate the rigs and refineries way more efficiently.

With social networks is Reddit the one that is growing. Facebook not and Twitter is focussing on revenue. Not getting new active users. What makes Reddit so interesting? Well, it is easy to join. You don’t need to leave your email address and no data mining. This means that the company will not become as profitable as it could be. But in the next few years, it is expected that the turnover will double. To 261 Million in 2021.

So what is the Reddit business model? Well, random advertising. To have profitable advertising campaigns you have a few golden rules. It should be in the proper context and at specific users.

Let me show you some examples. If you are selling cars it makes no sense to advertise on a group of legally blind people. It is a waste of money. You go advertising where the people that buy a car hang out. Create some forms of content which will be in different communities. Another example. A business owner searching the internet for sports results don’t care about cosmetics and high heeled shoes.

If the firm knows the business owner they will provide him with more relevant advertising. High-end jewelry, fractional private jets and so on.

Thanks to data can we do this targeting.

Let me give you an example of the power of data. I’ll return to the supermarket. Based on the purchase of 25 products could be determined if you are pregnant. Also when you are expected to deliver your baby. Think about this. Your supermarket knows if you are pregnant, even before you know it.

So when you fit the profile the supermarket was simply sending coupons with discounts for babies things. It was a perfect set. A bit too good. Some fathers founded the coupons addressed to the teenage daughter. Yes, the teenager was pregnant. What a method to figure out if your daughter is pregnant.

So it is a match made in heaven. NOt for the father. So let’s have a look at what will happen. Who will be the winners and the loser?

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