The dictionary definition of information:

“knowledge communicated or received concerning a particular fact or circumstance”

The dictionary definition of value:

“the worth of something in terms of the amount of other things for which it can be exchanged or in terms of some medium of exchange”


States of Information

State 1: Raw Data in the wild
(System/Person waiting/needing information)

State 2: Information realized as available
(Raw Data formatted transposed into a useful format)

State 3: Knowledge gleaned and value created

Value of Information (VOI)

VOI Processing


  • Cost to store and make available for consumption
  • Cost to transpose into a useable format and/or structure
  • Cost to collect and analyze for trends, quality, duplicates
  • Savings in regards to all of the above when purchased

VOI Relevance


  • Context in relation to the consumer
  • Support for decision making and/or problem resolution
  • Structure and format

VOI Exclusivity


  • How many other sources exist?
  • What is being done to protect exclusivity?
  • What is the perception of the brand?

VOI Multipliers


  • Time since first available
  • Quality and accuracy
  • Respect and/or proven expertise in the domain

Why is VOI so controversial?

The value of information frequently starts disputes due to…?

  • Information can often be produced at little or no cost.
  • Information may be either subjective or objective, or both at the same time.
  • Information may be totally false or true, partially false or true, or neither false nor true.
  • Information, unlike objects, cannot exist apart from value.

Information Value Summary

  • Information can be exchanged for other information or money therefore it has value.
  • The value of information depends on its relevance, processing, and exclusivity from the consumers viewpoint.
  • VOI is often up for debate but when used to the fullest potential to make decisions, solve problems and/or create opportunities the value is more easily realized.