Data4City: Data-based business modelling for service design and urban planning

Purpose – Exploring data-driven business models in the context of smart or intelligent cities, this paper introduces a methodology how a strategic exploitation of urban data can lead to an iterative, controlled and sustainable development of innovative services or products for local entrepreneurs, companies or municipalities. Our key idea is that comprehensive and transparent knowledge about the behaviour, feelings and needs of people in their daily living environment, as well as about the urban context, business environment and local networks can support and flourish the emergence or improvement of businesses, services and products in future neighbourhoods. Design/methodology/approach – Our approach connects urban data and local business models. We consider the needs of the citizen – who are “key consumers” of cities – as major impeller for successful urban ventures. In order to comprehensively summarize those needs, a combination of qualitative (constantly pursued surveys) and quantitative measurements (sensor infrastructures) are requisite. The process of qualifying existing local business models with the detected local needs, and reviewing them on the basis of locally collected data, we have termed “Urban Data Business Modelling”. Detected needs may hint at yet unidentified deficits in the local economy, thus leading to new business opportunities and to future cities with increasing life quality. Originality/value – The approach presented here targets at evidence-based design of business models. As it argues for the generation of local business models spurred by local data, it contributes to discussions on hyperlocality. Using advanced data analytics in order to identifying demand patterns within urban data may provide an entirely new basis for the generation of business models. Practical implications – Within a project funded by the European Social Fund, TU Dresden Laboratory of Knowledge Architecture and IT company Spectos GmbH are currently developing a platform prototype “Data4City” that combines goal-orientated urban data harvesting with Urban Data Business Modelling. The outcome of the project will be an advisory software supported by data banks of various urban business models, and a guidance system for the exploration of local business models.