How is Big data analytics changing the way you do business?
Over the years big data has had a great impact on how businesses operate–it creates changes in how businessmen do business.
In this post, we are going to discuss big data analytics, why it is important– how it affects business operations.
Big Data Analytics
Let us define big data analytics first. Big data analytics is a complex process that allows examining data to uncover information such as hidden patterns, correlations, market trends, and customer preferences that can help organizations make informed business decisions.
Big data analytics help the business collect data and use this to discover new opportunities that will help the company grow even more– more improved business operation strategies, higher profits, and happy customers.
Before we go beyond the topic let’s cover first the basics of data analytics. A huge amount of data is analyzed depending on the type of analytics used. There are 5 types of analytics.
1. Descriptive Analytics. This is about finding out what’s going on in your business in real-time. This is when data is analyzed by current status showing in dashboards and daily reports that can be used to track how the business is doing by comparing the previous behavior of the operation. From the word “descriptive”, basically this type of analytics describes what is happening in your business.
2. Diagnostics Analytics. Once you’re done identifying what is going on in your business, you need to identify the reason/s why it is happening. This is the type of analytics that helps the analysts scrutinize the data to find the answers.
3. Predictive Analytics. The information you get from descriptive and diagnostics analytics is going to be used in predictive analytics. Analysts will use the previous data as input to make a valid hypothesis that would be significant to actuate the direction of future trends.
The founder and CEO of ThrillX Arsh Sanwarwala said, “we use it to identify potential opportunities or risks preemptively so that we can either capitalize on them or avoid them altogether. This again helps us make better business decisions faster to achieve our desired results.”
Generally, this analytics will serve as a crystal ball that will provide answers to what will happen in the future for a business to be more prepared in facing future trends.
4. Prescriptive Analytics. After determining the direction of future trends, determining the best approach to deviate from and get rid of future problems should be your next step.
The content editor of Castnoble Chel Gacrama posits that with the help of big data analytics, businesses now have access to vast amounts of information that can be used to make better decisions. In the past, businesses would have to rely on intuition and guesswork to make decisions. But with big data analytics, businesses can now analyze large data sets to identify patterns and trends. This allows businesses to make more informed decisions that are based on evidence, rather than guesswork. As a result, big data analytics is changing the way businesses operate, and it is driving better results.
The critical part of this analysis is that one should be smart enough in choosing the best approach to hit the bull’s eye in ruling out future issues.
5. Cognitive Analytics. This type uses technology like AI, advanced machine-learning algorithms, and the like that work the same with a human brain.
Fundamentally, this analytics is derived from how the human brain processes data, make a judgment, and systematizes the experiences and sentiments into learning. For instance, when you read a story, you are not only understanding the words partially about it but you understand it fully to be able to discern what the story is all about.
Artificial intelligence technologies will get even smarter and more effective gradually through learning about data and its interconnection with humans.
When this analytics is applied to your business operation based on your company needs, it will guarantee success for your future business endeavor.
How does big data analytics change your business operation?
Now let us discuss the factors of using big data analytics that will change how you do your business.
- Customer Responsiveness
Big data provides not only guarantees to improve the business’ customer service but also allows it to be able to create products that are based on the insight or suggestions.
How can this be done? Product concepts or blueprints should be based on the needs of the customers. The catch is that instead of just depending on customers to tell you the product they need in your business, you can use data analytics to foresee the information.
According to Deepanshu Bedi, the marketing director of Holista Pet, “By leveraging this technology (big data analytics), our team can gather and analyze valuable customer insight to identify trends and improve product offerings. We also have access to more detailed customer feedback than ever before, allowing us to better understand our customers’ needs and wants.”
- Targeted Marketing Campaign
This is an approach that informs a specific group of customers about the product or service. The targeted market may be bijou but is still part of the total market.
Before big data analytics is discovered and used for business, companies only have data from the actual sales made. On the other hand, big data analytics can catch every detail, even customer behavior, and this is a gold mine for businesses because it helps the company create more marketing campaigns.
As stated by Liam Wilson, Editor-in-Chief of LotteryNGO, “By leveraging big data to uncover patterns in customer behavior, we can create more targeted marketing campaigns and deliver customized experiences that are tailored to a specific audience’s needs. We also use big data to analyze our operational performance—from ticket info sales to website visits—so that we can improve operational efficiency.”
With the help of data analytics, companies are provided with customer information that will help create more personalized offers that can be done through email or chat communications.
Infintech Designs CEO and founder, Brian Hong said, “Big data analytics has also enabled us to build more powerful marketing campaigns by giving us access to detailed customer profiles, so we can target customers with highly customized messages. Our predictive models allow us to quickly identify potential opportunities and take advantage of them before the competition does.”
Big data is flawed sometimes but is highly efficient. Through this efficiency, companies will be able to target a market to recognize customers’ needs.
- Reduced Costs
Big data greatly contributes to reducing company costs and expenses. By using this, companies can identify trends and predict occurrences and/or problems. Furthermore, the company’s planning and approach to doing business operations will improve. Because of this, planners will know what, how, and when to produce. It eliminates the “trial and error” process and will eventually reduce costs. And the company would be able to keep track of its inventory.
As stated by Wisconsin Medicare Supplement Plans owner, Loran Marmes, “We have also been able to use big data analytics to identify opportunities for cost savings and streamline processes in our business operations. Our team uses the insights gathered from big data analytics to determine which areas require further investment and focus, as well as which ones should be eliminated or improved upon. This helps ensure that we are allocating resources efficiently and avoiding unnecessary expenses.”
Big data is a helping hand to businesses today. If companies want to attain more success and sales, they need to adopt big data analytics– those who don’t use it may be left behind especially amidst the tight competition of every known business industry today.
It won’t be long enough that every business on every corner of the street will be using big-data analytics to change the way they do business. During this time, tight competition will also happen. And so, more creative approaches and strategies should be implemented. There will surely be another breakthrough like big data analytics soon enough. And if the company doesn’t want to be left behind, it should always keep itself updated.
(Disclaimer: Devdiscourse's journalists were not involved in the production of this article. The facts and opinions appearing in the article do not reflect the views of Devdiscourse and Devdiscourse does not claim any responsibility for the same.)