What is data collaboration?

First-party data has always been a key pillar of successful marketing, but its value will only increase in the coming years. Changing privacy regulations and the death of third-party cookies are combining to create a privacy-first web that’s more transparent for the public but more difficult for marketers who want to track, understand and target their audience. 

This means it’s more important than ever for rights holders and partnering brands to not only collect first-party data but also to generate strategy-shaping insight from it. Until recently, doing this efficiently and securely was challenging, but the rise of data collaboration has opened up new opportunities.

But what is data collaboration and how does it help in sport? Let’s start with the basics!

Defining data collaboration

Data collaboration for sport is the process of securely bringing multiple first-party datasets together to analyze and draw insights from them. The collaboration can be between multiple departments within a single organization (ticketing, merchandise, in-stadium point of sale, for example) but is more typically between multiple organizations.

Imagine a Major League Baseball team called the Arizona Aces. They’re looking for a new sponsor for their jersey patch asset, and nationwide internet provider Pulse is the primary contender. Before signing a deal, Pulse wants to understand how many Aces fans are already customers as that figure gives them a clear idea of the number and basic demographics of new customers they could reach. Data collaboration can be used to help understand that number.

What is a data collaboration platform?

A data collaboration platform is software that enables data collaboration to happen securely thanks to developments in encryption and privacy-enhancing technologies (PETs).

In our datapowa VENN product, for example, data is uploaded to the platform via an encryption gateway that turns human-readable text into encrypted cypher text before it hits the system.

All analysis is performed on encrypted data and the data can only be decrypted via an encryption key held by the organization the data belongs to. This means that there’s no risk of a breach exposing the underlying data and no risk of it being shown to any other organization that might be part of the collaboration. 

It’s simple, seamless, and above all secure.

Data collaboration or data sharing?

We use the term ‘data collaboration’ rather than ‘data sharing’ in order to avoid any confusion about the visibility of the data.

‘Sharing’ suggests that data is given from one collaborating partner to the other(s) and that each partner can see the others’ unencrypted data. In the case of datapowa VENN, that isn’t the case.

Thanks to VENN’s approach to encryption, data can only be accessed by the partner that owns it. It’s never shared between partners; only analysed as part of an encrypted collaboration within a secure environment.

How does data collaboration help in sport?

Data collaboration for sport can help properties, brands, broadcasters and other commercial entities revolutionize how they approach sports sponsorships and partnerships. Let’s follow our Aces/Pulse example and see how it could help them.

Understanding an opportunity

Both parties can use VENN to understand the number of fans/customers they have in common before a deal is signed. This intelligence gives Pulse an idea of the number of new customers they can acquire, therefore helping them strategize and set relevant KPIs, and it gives the Aces the chance to cost the deal accurately.

Revolutionizing ROI

Media equivalency will always be a critical part of measuring commercial partnerships in sport, but VENN makes it possible to analyse customer acquisition and revenue as well. By comparing the number of matches at the start of the deal to the number at the end of it, both the Aces and Pulse can understand acquisition and ROI and come to an accurate understanding of how effective the partnership has been.

Performance optimization

VENN can be run with new data at any time during a season or event. If Pulse were to run a significant activation during a particular Aces game, they could run the data again just after it and understand the number of customers they’ve acquired. This allows them to reactively understand what’s working and optimize their commercial strategy accordingly.

Set up a VENN demo to find out more about data collaboration.

Find out more about datapowa on our website, our About page or fill in the form below to set up a demo of datapowa VENN.