Deborah Weinswig, Founder and CEO of Coresight Research, explains the potential of data monetization for retailers, highlighting the ability to anonymize and sell first-party data to various sectors such as financial services and international retailers. This data, which holds significant value, presents an entirely new revenue stream for retailers, enabling them to invest in additional solutions and innovations. Rather than merely being entities that sell products, retailers can transform into fully digitally-enabled companies, enhancing their margins and consumer engagement through gamification and other initiatives funded by this new income source.

Deborah emphasizes that data monetization can significantly impact a retailer's financial health. The additional revenue from selling anonymized data can be reinvested into improving the consumer experience or boosting the company's bottom line. This shift redefines what it means to be a retailer, potentially increasing their valuation as they closely resemble technology companies. This increased valuation attracts different types of investors, further enhancing the retailer's financial standing and enabling them to pursue new opportunities.

She further elaborates that the real value lies in the contextualization of this data. Retailers can help other companies offer better services, products, or experiences by providing insights into consumer behavior and retail trends. This new revenue source was not part of traditional business models but opens up numerous possibilities for modern retailers. Deborah also notes that the high cost of acquiring customers online is driving a shift back towards physical stores, and data monetization is playing a crucial role in this evolution.

In conclusion, Deborah asserts that data monetization is a game-changer for the retail industry. It provides a new revenue stream and enhances the retailer's overall value and strategic positioning. As retailers continue to embrace this approach, they are likely to see significant changes in their operations and market perceptions, marking the beginning of a transformative period in the industry.

WATCH NEXT: Andrew Neelon On DTC Data Monetization