Customer Data-driven Business Models: A Case Study in the Retail Industry

Abstract

In today’s data era, the retail industry has increased the possibility of acquisition of a large volume of customer data, becoming more achievable its monetization. This paper develops a literature research and an empirical study identifying the different strategies that organizations perform and their instantiation by a concrete retailer. In each of these strategies, there have been identified the reasons for the case study to implement them as well as the specific instantiation performed. The research enriches the literature twofold; (1) by adding the Retail Media strategy as an indirect customer data monetization strategy; (2) by identifying relevant elements of the investment-cost-revenue structure for the different customer data monetization strategies.