Who owns the data?

You: "So, who owns the data?" 

Me: "Honestly? That’s the wrong question."  

It’s tempting to ask about ownership, and frankly most data sharing negotiations start with this, but  this line of thinking leads us into a legal quagmire - with very little value (other than big legal fees for your law firm).  

Let’s break it down.  

When it comes to data, the legal landscape is anything but clear. Ownership might sound simple, but it’s a complex issue with various laws at play. This is because data (or information) in the eyes of the law is put simply a bundle of right and obligations:

• under legislation like privacy, copyright and confidentiality

• under contract like permitted and prohibited uses 

• under equity like a duty of confidence or trade secrets. 

Ownership disputes over data are a legal maze. 

And here’s the kicker: No one wins.

This is because data isn’t like physical property or even intellectual property. It’s intangible, easily replicated, and constantly evolving but it’s also not very creative, original and it’s almost never been generated from just one source. Sure, you can tag it, categorise it or even use blockchain, but that just degrades the inherent utility in data. The beauty of data is that it can be accessed by multiple parties without losing value. It is derivative, duplicative, aggregated - and still useful. This is precisely what makes ownership claims murky.  

When organisations focus on ownership, 5 things happen:

1. You adopt a static mindset that views data as a fixed asset - rather than a dynamic resource. Data is inherently contextual, its value evolves with every interaction and application.

2. You prioritise individual and exclusive control - sure, some data is valuable because you’re the only one who has it, but that’s rarely ever true - 9 times out of 10 data is more valuable when it’s shared strategically. Think loyalty programs and joint-ventures. An ownership mindset can stifle partnerships and collaborations, and undermine the value of your data. For example a retailer might hoard its transaction data, viewing it as a primary asset. But this prevents opportunities like sharing it with suppliers, franchisees and complementary brands, missing opportunities to drive value. 

3. You prioritise tick box compliance - when focusing on ownership, organisations tend to focus on protection of immediate legal risks, such as avoiding lawsuits or regulatory penalties. This reactive mindset can lead to a short term compliance-driven approach, rather than fostering a deep understanding of data’s potential value and protective strategies that align to value.

4. You encourage silos - ownership mindset tends to focus on what can’t be done with an asset in the context it was collected, rather than the context in which it can be used. Rather than how data can be used for multiple purpose, experimenting with cross-functional uses leading to innovative uses.  Prioritising data value fosters a collaborative environment where teams are encouraged to share insights and work together towards common goals. Prioritising data value fosters a collaborative environment where teams are encouraged to share insights and work together towards common goals.

5. Your data strategy is ineffective - A robust data strategy requires a comprehensive understanding of both the legal landscape and the overall value of data. Focusing only on ownership can result in fragmented strategies that do not optimise data utility

So what should you be asking? Well - you should be looking at the things about data that makes it value to you (and others). 

Data is inherently value-able for 4 core reasons: 1) enhancing customer experiences, 2) enabling data-driven decisions, 3) improving operational efficiencies, and 4) fostering innovation. The real value lies in how it’s applied, not who owns it.  

But on the flip side, there are risks that need to be balanced with these benefits. It’s finding the apex between these benefits and risks that is the ultimate data strategy. 

So, instead of fixating on ownership, businesses should focus on maintaining control over the value of their data. This means dictating how it’s used and shared. That way, you can protect your interests without getting lost in ownership debates.  

This focus on value enables organisations to be adaptable. Adjusting data usage in real-time is far more valuable than just claiming ownership, because it enables you to respond to the changing value of the data. 

And let’s not forget trust. By controlling how data is shared and focusing on why it’s of value to you and your customers, you build stronger relationships with consumers. You enhance your value proposition. This mindset leads to clear governance enhancing brand loyalty and compliance. 

Bottom line? Focus on value, not ownership. Data is a complex landscape, but prioritising the value of data allows you to navigate it effectively. 

Want to dive deeper into this? Reach out! We offer workshops to help teams understand how to identify the value in their data and design strategies and governance frameworks to help leverage that value for your business objectives.