Many organizations believe that a large-scale data platform will solve all their data challenges. However, without aligning with business needs, these efforts often fail to deliver value.
A large Asia-Pacific bank exemplifies this issue. It embarked on an ambitious data transformation, extracting, cleaning and storing vast amounts of data in a cloud-based data lake. However, without considering real business needs, the project delivered little value. After three years, only a few users primarily those performing historical data analysis- benefited. Key requirements like real-time data for personalized customer offers were ignored, rendering the initiative ineffective.
This example highlights a crucial lesson: data initiatives must be designed with end-users in mind. The best way to achieve this? Treat data as a product.
Just as businesses create products tailored to different customers, data should be structured to serve diverse users effectively. Traditional data management approaches- whether rigid and monolithic or fragmented and unstructured- often fail to deliver true business value. In contrast, treating data as a product ensures that it is accessible, relevant and strategically aligned with business goals.
Also Read: Turning Raw Data into Gold
A data product is a high-quality, ready-to-use dataset designed to serve multiple business functions. Unlike raw, unstructured data sitting in silos, a data product is structured, accessible, and actionable. For example, a Customer Data Product provides a 360-degree view of customers, including purchase behaviour, demographics, and service interactions. Similarly, an Employee Data Product consolidates HR metrics, performance data, and engagement trends, while a Retail Inventory Data Product predicts demand to optimize stock levels across multiple stores. Businesses that shift to a data product mindset see transformative results. A retail company that built an inventory data product to forecast demand increased sales by 25% while reducing inventory costs by 30%. By making data reusable and accessible across teams, businesses eliminate bottlenecks, reduce inefficiencies, and enable data-driven decision-making at scale.
Just like software products serve different user needs, data products cater to multiple business functions. Digital applications require clean, formatted data for real-time access, while AI and advanced analytics systems need structured datasets at the right frequency for machine learning models. Reporting and business intelligence teams depend on governed, aggregated data for dashboards and compliance, whereas external data sharing must adhere to strict security and governance standards for third-party usage. Each of these functions demands different storage, processing, and delivery technologies, forming a robust data architecture that powers the organization.
Think of data products as Lego bricks– modular, reusable and easily integrated into multiple business applications. Unlike traditional, siloed data systems, data products maintain consistency, governance and scalability. By adopting a data product approach, businesses can improve decision-making with better access to insights, reduce operational costs by eliminating duplicate efforts, accelerate AI and automation adoption with structured datasets and unlock new revenue streams by monetizing high-value data.
The shift from raw data to data products is not just a trend- it’s the future of enterprise data strategy. Organizations that embrace this model will gain a competitive edge in the data-driven economy. To start, businesses must identify their most valuable datasets, design them as reusable, structured products, and establish a governance framework to ensure quality, accessibility, and security.
Data isn’t just an asset- it’s a product. Treat it like one.
Further read:
https://scikiq.com
https://scikiq.com/supply-chain
https://scikiq.com/marketing-use-cases
https://scikiq.com/retail
https://scikiq.com/healthcare-analytics
https://scikiq.com/banking-and-finance
https://scikiq.com/telecom
