Do you know? Poor data quality costs the US economy up to $3.1 trillion yearly. (source: IBM)
There comes big data. However, it is not a new concept for organizations. Every organization was collecting enormous data every day and adding in the spreadsheets.
With big data analytics in place, organizations capture all types of information relevant to their business and extract significant results that will improve diverse aspects of business operations.
In today’s technological era, if you need to stand strong in the competitive marketplace, you need to evolve according to the latest business trends.
It not only allows you to achieve your goals faster but lets you offer high-quality services by understanding customers’ needs and future requirements.
When we talk about big data, it comes in three forms:
- Structured
Structured data is easy to store as well as analyze. It is created by machines or by humans. It consists of address details, demographic information, contact information, and much more.
- Semi-Structured
It is a mix of structured and unstructured data. In this, some of the data can easily be organized, and some are hard to sort out. For instance, E-mails. E-mail body is unstructured data, however, name of recipient, delivery time, or e-mail address, etc., is structured data.
- Unstructured
It is hard to analyze and search. However, if you integrate big data services with AI (artificial intelligence), the process becomes a little easier. For example, open-ended surveys, photos, videos, etc.
Even though adaption numbers are quite high, however, some companies don’t leverage the potential of big data and analytics solutions.
If you are one of them – we would like to showcase some of the benefits and how big players are using it and gaining maximum profits.
1. Boosts Customer Acquisition and Retention
Customers are the most crucial assets for any business. You need to establish a solid customer base to achieve your goals. However, if an organization is slow to what customers are looking for, they can lose many opportunities of turning visitors into prospects.
With the use of big data, businesses can observe customer-related patterns and trends that help them to deliver personalized experiences. To reap the maximum benefits, you can hire a reliable big data solution provider that can guide you to choose the best big data tools.
With a proper customer data analytics mechanism in place, a business will have the ability to derive vital behavioral insights that maximize customer retention rates.
Example:
Coca-Cola is one of the biggest companies that use big data analytics to drive customer acquisition and retention. Using the services, it managed to strengthen its data strategy that led to building a digital loyalty program.
In an interview, the CEO of the company said that data is helping them to create more relevant content for diverse audiences.
2. Solves Advertisers problems by offering Marketing Insights
Big data analytics influence all business operations. It ensures that the marketing campaigns are powerful and robust.
We all know that companies waste millions on advertising that is not even fruitful.
Embracing big data in the right way can help you reinforce your marketing and advertising strategy. With customer insights, you can build more focused and targeted campaigns.
Example:
Netflix is one of the Fortune 500 companies that use big data services for targeted advertising. The company collects millions of data in a single day that gives them what interests the subscriber the most.
3. Used for Risk Management
In the competitive environment, you need better risk management processes. Regardless of which industry you belong to, risk management allows you to mitigate potential risks even before it occurs, making your business profitable in the long run.
So far, big data has contributed a lot to the development of risk management solutions. With big data analytics services, you can achieve smarter risk mitigation strategies and stay ahead in the competition.
Example:
UOB bank from Singapore uses the services to drive risk management. Being a financial institution, there is a higher probability of incurring losses due to diverse reasons.
Recently, the bank has implemented a risk management system based on big data. It not only helps in reducing risks but also reduces calculation time.
4. Acts as a driver of Innovations and Product Development
Another huge advantage of big data is the ability to innovate and redefine product ideas. It is an avenue for creating additional revenue streams through product improvements.
There are various channels you can study and verify customer’s needs, and then businesses can capitalize on that need by using big data.
Example:
Amazon Whole and Fresh Foods is a perfect example of how big data helps businesses to improve innovation.
The data-driven logistics gives Amazon the required expertise to master in the competitive field and achieve maximum profits. It assists the company in understanding how customers buy groceries or interact with the grocers.
So, they can implement the changes on a timely basis to stay in touch with their customer base.
5. Used in the betterment of Supply Chain Management
With big data services, supplier networks become more accurate, efficient, and insightful. They achieve contextual intelligence across supply chains and enable them to beat the constraints that they faced earlier.
Example:
PepsiCo. is a consumer packaged goods company that relies on immense volumes of data for efficient supply chain management.
For instance, the company can develop reports that include warehouse and POS inventory, and the data can be used to forecast product and shipment needs.
Final Verdict
There are many big data service providers out there. However, you need to make the right choice to implement it right. As technological advancements continue, the data is readily available to all businesses.
It is up to you to make sure appropriate data analysis so that you can handle data appropriately. We hope that you got an idea that how big brands are leveraging the technology and growing so far.
Book your consultation with experts and know how it can help your business grow and get started.
