Data is the new asset for todays Companies

Charlotte Miller

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Data is the new asset for todays Companies

The amount of data used varies greatly between companies. The total amount of customer data stored online has grown dramatically. In 2016, 1.1 billion pieces of customer data were collected globally, a figure that is set to reach 2.6 billion by 2020, according to estimates by the GSMA, a trade body representing mobile network operators. That’s an increase of 545% since 2005, and puts the total amount of customer data worldwide at around 6.3 billion pieces.

In the U.S., the average customer data profile is being created for each individual every 24 hours, and the amount of data being held by U.S. internet companies rose to 7.5 petabytes in 2015, according to data released by the Federal Trade Commission.

However, this rise in customer data has been matched by similar growth in the amount of user data held by internet companies. As of 2016, user data had grown by 250% since 2005, with a total of 3.3 billion pieces being held by internet companies globally.

For the most part, tech companies do not share their customer data with other companies. However, in exchange for access to user data, companies can ask for your consent to share it with third parties. Most do not require your permission to share data, but in some cases, this is done to allow a particular company to offer more relevant ads.

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Average Time Tech Companies Keep Data

Most tech companies keep the minimum amount of data required by law. As of September 2018, companies in the U.S. are legally obligated to store data for 12 months. They can keep data for longer, however, if they receive permission to do so from a court of law.

In some instances, companies also keep the data they collect in a database for many years. This allows them to do things like offering a credit score for free, even if they do not have permission to do so from a court of law.

However, companies that hold large amounts of customer data are likely to keep it for longer than the minimum legal requirement. A number of tech giants, including Amazon, Google, Facebook and Microsoft, are now able to store data for longer than a year.

Google and Facebook have even been granted the power to store data for decades, and even centuries, after it was created. In October 2017, Facebook was granted the ability to retain data on its users for at least 15 years, meaning that the social media company could potentially hold user data from 2004 onwards.


How Tech Companies Use Customer Data

Customer data is usually used to offer more personalized services to customers. For instance, Google will use data about the types of products that you buy to create a shopping list for you, and Amazon will suggest products to you that it thinks you will like.

This information is then used to help businesses to understand how people think, what they want and where they want to shop. It also helps to build a profile of a person so that a company can create targeted advertising.

Some tech companies also use customer data to find ways to better manage their own products and services. For example, Facebook can identify when people post pictures of themselves with a particular product. It then uses that information to suggest similar products to its users.

In fact, one of the main reasons that companies like Facebook and Google are willing to share your personal information is because it allows them to improve the products they provide. For example, Facebook knows when you are in a relationship with someone else, so it can suggest to you other friends who may be interested in dating that person. Similarly, Google can use the data it collects about your search history to suggest new products to you.

Types of Data Tech Companies Hold 

Tech companies generally collect and use three main types of data:

Customer Data

This is information about you, such as your name, address and email address. Companies usually use this information to offer personalized services, such as providing tailored recommendations for products and services.

User Data

Companies that sell ads and other targeted services, such as Amazon and Google, also hold data on their users. They use this information to provide relevant ads or search results, and to personalize services for each user.

Product and Service Usage Data

Companies that sell products or services track how customers use them. This data can include things like where you go on the web, what apps and services you use, what pages you visit and what items you buy.

Benefits Tech Companies have for holding Data

Why do tech companies hold data? Why do they do that? Well, we know that they have to collect data in order to do their jobs, but why would a company want to keep our personal data? That’s a pretty scary question isn’t it? Well, here’s why…

When you buy something online, you’re giving a huge amount of information to the website (think Amazon, eBay, iTunes etc). That’s how they can serve you advertisements tailored to what you might be interested in, what you’ve bought in the past, and what you might be interested in buying in the future. This is all done without you having to tell the website anything, it just happens automatically! So why should a company want to store your information? Because you can also use it to track what you might be interested in, what you’ve bought in the past, and what you might be interested in buying in the future. It’s an incredibly useful tool, and one that can really help companies get a better understanding of the world around them.

Reasons why companies want to hold data on people

Firstly, they need to be able to see what products are most popular, and what kind of things people are buying through the test data management best practices. Without this information, they won’t be able to sell you what you want. They also need to find out what’s trending, so they can see what’s popular amongst other people.

Also, the information that they collect helps them to understand the needs of the people using their website. They can then make changes to their products, the website, and their advertising to suit those needs.

There are some laws that stop companies from holding onto your personal data for too long, and this is the reason why they ask you for it. If they did hold onto it too long, they could potentially be breaking the law.

It might sound weird, but sometimes companies are able to get data about you, without you asking for it. This is the reason why they are called “third parties”. You can’t always be aware of where the data might come from, as they may be able to use third party websites to get information about you.