Data Driven Businesses Have a Big AdvantageJuly 18, 2013 No Comments
Big Data is the new exciting buzzword in the business world. While most businesses have relied on a mix of research data and gut intuition to make decisions, some businesses are moving toward making all decisions based on data. This has been made possible mostly due to technology like hadoop solutions.
Hadoop is currently the leading technology that allows businesses to better utilize the data they collect. Previously, the amount of data available was too much for technology to store and analyze, which meant businesses were limited in observing trends, but with new technology able to handle all of the data, businesses have access to insights unavailable before.
Businesses who embrace this new technology will have a huge advantage over their competitors. Here’s why.
1. Better Fraud Detection
Criminals target businesses everyday around the world. As the volume and sophistication of these frauds have increased, businesses have had a difficult time keeping up and have lost revenue and resources due to these schemes. New big data technology can help companies to sift through the massive data available and uncover patterns and suspicious events that businesses couldn’t find before.
2. High-Value Marketing Campaigns
Big data has so many implications for marketing. With access to more data, marketers can more reliably predict effective marketing models and can test marketing campaigns before implementing them. With the increased availability of real-time data, marketers can also make better decisions when responding to crises and can evaluate and adapt marketing campaigns as the market evolves. Marketers will also be able to spot trends that were invisible before because there simply wasn’t enough data for the trend to show up. All of these advantages will allow businesses to always have high-value marketing campaigns that will be more effective and better targeted than their competitors.
3. Better Dialogue with Consumers
Today’s consumers are tough. They have access to multiple outlets to purchase the products they want, including thousands of outlets online. Consumers expect to find the best deals and best service all while talking about their buying experience on social media. Keeping up with all of these consumer demands would be next to impossible without big data. Data driven companies, however, can profile their customers in real time, so they can have a one on one conversation with them based on their current needs and desires.
4. Improve Products Faster
Data helps in this area in two ways. First, big data can help you assess what consumers think about your product and even break it down based on demographics and geographic regions. Second, as you consider making changes based on feedback, data can help you quickly assess how much making the change will cost in time, material costs and performance. This can help businesses speed up the improvement and development process and better ensure product quality.
5. Customized Website
Data driven businesses are better able to adapt their websites in real time based on a customer’s sex, nationality or previous interests. Amazon is famous for its website customization, and based on Amazon’s success, businesses who are able to customize will generate more traffic and revenue than those who don’t.
With so many advantages to better understand and reach out to consumers, Big Data is the next step for the business world. Not all companies will take advantage of it, but those who do and learn how to use it to their advantage, will have the insight they need to stay ahead of the competition.
by Rick DelGado, Independent Author
“I’ve been blessed to have a successful career and have recently taken a step back to pursue my passion of writing. I’ve started doing freelance writing and I love to write about new technologies and how it can help us and our planet.” – Rick DelGado
DATA and ANALYTICS , Fresh Ink