Ever wonder what big data is? Below is a simple explanation and the top 3 reasons why your business should embrace big data ASAP.
Big data is an umbrella term that refers to huge amounts of structured, semi-structured and unstructured data and different ways of analyzing it. Big data comes from traditional product transactions and all modern digital interactions. From a business point of view, the umbrella term narrows down to data analysis and data-driven marketing. In fact, these things are interconnected, as you cannot deal with one without dealing with the other.
Why does everybody say it is difficult to deal with big data? Because the huge amounts of data you get from the business environment are scattered to such an extent that, at first glance, there is no way to connect them.
Let’s review a British Airways case. The company launched a “Know Me” program, which combined already existing loyalty information with data about clients’ online behavior. Researching and analyzing these two sources of information, the company came up with more targeted offers for their existing and potential flyers. In addition, they identified gaps in client service and improved client satisfaction.
The example is brief, but it explains why business owners should not forget about three unshakable reasons why companies need big data:
Waiting for clients to tell you about their expectations is so “last season.” Now, computer algorithms identify clients’ buying habits and create a full-dimensional picture of what your product should look like to bring a higher income. With an in-depth big data analysis, you easily assess your clients’ needs and respond to any changes in their behavior.
After outlining your clients’ needs, you then proceed with data-driven marketing. On the basis of the first-hand information, choose the right communication channels and tailor your sales messages to your target audience. With a data-driven marketing strategy, you weed out unprofitable business goals and focus on customized products.
Big data also allows tracking staff performance and hiring people with relevant competencies for your business. Scattered data about employees can come via different tech solutions, such as sensors of stress and health, satisfaction survey tools or social media platforms. Internal efficiency has a large influence on client experience. If you don’t get it, you’re missing the boat.
Big data is a complex concept that needs a strong analytical approach with a tech background.
At K&C, we will solve the puzzle and make math algorithms work for your business.