Unveiling Value Creation in Consumption - Rethinking Disruption in Traditional Sectors

August 06, 2023

In today's interconnected world, the concept of value has taken on a whole new meaning, especially in the realm of consumption. While the digital age has transformed numerous industries, some sectors like healthcare and education seem to have resisted significant disruption. This resistance can be attributed to the stronghold of established institutional structures, the inherent value of human and physical assets, and a labyrinth of complex regulations that discourage quick and radical changes. This article delves into the challenges and prospects of disrupting these traditional sectors and explores the nuanced interplay between value, data, and the evolving market landscape.

2023 08 06

The Status Quo of Disruption:

It's undeniable that many sectors have undergone massive transformations due to digital innovations. However, when it comes to industries like healthcare and education, the disruption has been more incremental than revolutionary. Existing institutions still dominate the distribution of information and resources, hindering direct access to underutilized assets. This status quo underscores the need for platforms that can bypass these institutions and create avenues for direct sharing and distribution, thereby enhancing value creation.

Digitalization vs. Digital Transformation:

Health apps and educational websites have undoubtedly digitized certain aspects of these sectors, making information more accessible. However, true disruption necessitates digital transformation - a radical reimagining of how these sectors operate. The mere digitalization of processes doesn't address the core challenges posed by institutional structures and complex regulations. Achieving genuine disruption would require a radical shift in organizational paradigms and overcoming these hurdles to create meaningful value.

The Value of Data:

In the digital era, data has emerged as a new form of currency. Advertisers exploit user data from Google searches, Facebook likes, and other digital footprints to tailor targeted advertisements and influence behavior. This data forms the bedrock of the market, driving various purposes such as trading insights, predictive user preferences, and optimized advertising. However, the ethical implications of this data usage cannot be ignored. The tension between personalized experiences, data generation, and profit creation raises concerns about the ethical use of data and the potentially parasitic nature of profit generation.

Co-Creation of Value:

In the modern landscape, value creation is not a one-way street. Customers actively engage with platforms, generating data and contributing to the co-creation of value. This engagement results in a mutually beneficial relationship, where customers receive personalized experiences and companies benefit from enhanced profit margins. However, the asymmetry of power between companies and customers, coupled with data privacy concerns, underscores the need for ethical considerations and transparent data practices.


The idea of value creation in consumption has undergone a significant evolution in the digital age. While healthcare and education have been slow to embrace disruptive changes, the need for true digital transformation remains undeniable. Overcoming entrenched institutional structures, navigating complex regulations, and reimagining value in terms of data utilization are critical steps toward disrupting these traditional sectors. Striking a balance between co-creating value with customers and ensuring ethical data practices will shape the trajectory of disruption and its impact on society. As we navigate this dynamic landscape, it's imperative to acknowledge that the pursuit of innovation must be accompanied by a commitment to ethical values and responsible data usage.

Profile picture

Victor Leung, who blog about business, technology and personal development. Happy to connect on LinkedIn