By 2020, about 1.7 megabytes of new information per person will be created every second. Digital data is accumulating at an exponential rate and businesses have more big data at their disposal than ever before.
Immense volumes of structured and unstructured data mean that businesses have to find cost-effective forms of data processing, so big data can be used to improve strategies, make smarter decisions and stay agile.
As well as long-term changes, data allows businesses to identify insights and make immediate decisions.
Big data analytics is making it easier to analyse business decisions and trajectory more objectively.
“How are we doing?” becomes less of an airy question and one that delivers a practical, data-driven answer.
Instead of creating more complexity, with more data – big data analytics can create more simplicity, more opportunity and more customer-focused experiences.
Often, it can be overwhelming for businesses to intelligently use their data and generate meaningful insight. But instead of generating knowledge, businesses need to harness data as a learning tool to stay competitive in fast-paced industries.
When you’re dealing with large datasets, your business needs high-performance analytics to make sense of the information you have and create timely insights.
And there are other challenges faced by businesses too when balancing their desire to innovate in their field:
That said, data-driven business decisions are part and parcel of today’s digital landscape. In fact, between 2015-2016, data-driven marketing campaigns increased by 60%.
There is a massive market demand for beneficial data.
And when you take a look at this data collected by Harvard Business Review about how companies are using big data – another challenge is the major disruption that can incur with the insights collected from big data.
Being more efficient with your processes is one of the top priorities for businesses everywhere.
Cost-cutting and time-saving are two of the key elements that come under the umbrella of efficiency.
Breaking this down a little further, there is a multitude of business operations for small business and start-ups that can be streamlined or informed with more precisions with big data.
Using analytics tools that harness data management, in-memory analytics, machine learning capability, text and data mining features can lead to business decisions that you’d never considered before.
Let’s look at a few examples:
Branding elements can be costly and time-heavy, so if marketers and designers have the ability to use machine-generated tools to create early designs from a customer’s subjective input, they can save time and avoid the back-and-forth nature of the creative process.
Designers can use a database of design data that’s been generated from best practices and user input, so their work can be informed by trends, patterns and feedback. This can lead to better results, earlier on.
Delivering timely, relevant and valuable content is an important part of a good content strategy for any business.
Insight from big data can tighten these processes, even more, when it comes to content distribution.
An analytics platform can give you data about the best times to send content based on activity rates and engagement rates, using their own user-generated feedback from millions of other campaigns. This can improve your own conversion rates.
You can generate accurate data about the best windows of time to engage with customers and auto-schedule content. And the same can be done with social media campaigns and the insight gained can be invaluable.
Big data can have big implications for your sales strategy. As well as helping your business to be more cost-efficient, you can look at ways to boost your sales too.
With optimized pricing, you can generate real-time data about your customers’ purchasing behaviours. You can track purchases and customer trends on your platform, making changes and creating offers that can lead to more sales. Differentiating pricing strategies can help you to make more sales.
Data also allows you to make smarter decisions about your inventory, forecasting the need for new stock based on trends, seasonal changes etc.
Analytics can give your business information about how leads and traffic have got from one point to another in a customer journey. Or not, as the case may be.
Where are you losing traffic and where exactly are customers dropping off?
You can use data to drill deeper and really get a sense of how your customers are behaving on your site and any roadblocks that are preventing them from navigating through a customer journey and getting from A to B.
There are so many variables that can impact customers, so getting a sense of what is and isn’t working will help drive better decision making and design.
Data can help you to become more customer-focused and enhance the customer experience you’re providing.
Check out our article on how great UX design can increase your conversion rates.
Customers are looking for more personalised experiences with businesses, where their needs, interests and behaviours are addressed. A distinct lack of personalisation annoys around 75% of customers.
Data can help you to craft better and more detailed audience personas and segment your target audiences with more information. A good place to start is with Google Optimise, an area we’ve covered before.
The key is to deliver relevant and timely recommendations. For example, data lets your business come up with personalized product recommendations by using customer purchase history or using tools like chatbots to learn more about customer preferences.
This is where big data can enable your business to learn more about customers and create a more meaningful, personal connection by providing pure value.
As a business, you’re looking for ways to make your processes more efficient and this inevitably includes the people you employ too.
Can big data help to make your team safer, happier and more efficient? Some people think so and there are inbuilt tools in lots of CRM systems to keep tabs on teams.
However, big data analytics aren’t always worth blindly pursuing.
You don’t have to measure every element and measuring and tracking employees can seriously damage trust over time.
If it makes sense for your business and more crucially, your employee’s wellbeing then using big data to improve conditions can be beneficial.
Compromises over efficiency are worth it if your team are happy, feel trusted and don’t want to be part of a surveillance culture.
As we mentioned, one of the key challenges with big data analytics is knowing what to do with your data and how to meaningfully use it.
You need the right expertise and talent to take data points and turn them into actionable processes.
Without talent, your data can be rendered meaningless, or worse – the right meaning is neglected and your business fails to adapt or makes changes based on rubbish data.
Talent is one of the key variables in your business and something that can differentiate you from the rest of your competition when it comes to big data.
And if you can find team members with more than singular skills, you can create a more cohesive environment and better conditions for good data analysis.
Every business is on the lookout for the best talent, so how can your business ensure that you’re offering an attractive value proposition to the right people:
Data-driven insight gives businesses more choice and opportunity for innovation than ever before.
Instead of decisions solely based on instinct, a culture of big data in your business can lead to some exciting changes.
Fine-tuning campaigns, making real-time sales decisions and optimising your content are just a couple of ways your business can use big data to improve your offering to customers and become more customer-focused.
But you must invest in the right tools, the right data sets and crucially, the right people in order to use big data properly.
Changing the culture in your business from a fixed mindset to a more dynamic, flexible mindset will suit the type of learning environment that big data needs in order to get results.
You can make quicker, smarter decisions by using data, artificial intelligence, and streamlining your processes. Whilst also helping to make your business and employees more efficient.
If your business doesn’t adapt to a big data mindset, it’ll be more difficult to meaningfully compete within your industry. Big data doesn’t have to take over, but by opening up your business to data-driven change, you’ll future-proof your business.
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