If you have followed the news about MoviePass and its recent financial downfall, you may have read about declining stock prices and angry customers, and made a mental note about what not to do in business. However, there is one critical but less obvious lesson to learn from the MoviePass pandemonium – and it is one that just might keep your financial institution from going down the wrong CECL road.
The rush to collect more data is becoming a priority for many organizations that believe that by collecting more relevant data, they will have an information advantage over competitors. There is no doubt that the data opportunity is unprecedented and may even represent the biggest driver of business growth and transformation across a wide range of industries, influencing business models, products, infrastructure, marketing effectiveness, and even altering how we think about currency. In the financial services and real estate finance industries, data provides information about everything from borrower stability and product cross-sell opportunities to portfolio and asset value.