4 Compelling Reasons Why Data and Analytics are the Backbone to Business Success
A couple of decades back, when the internet was still to take off, companies had limited means of knowing about the customers’ needs and wants. But with the advent of the internet and social media, companies get a lot of gold-standard data that helps them know their customers better, identify their needs, and tailor their solutions to meet those needs. By carrying out technologically advanced data analytics for business, they come to know the areas to focus on for solving customer’s problems and being competitive.
Advanced analytics such as Business intelligent platform from Wersel help companies transition towards advanced data analytics that unlocks immense possibilities from your existing business proposition. Studies have shown how effective data analytics is at meeting KRAs, like better decision making and driving strategic initiatives. This talks volumes about the importance of data analytics
Here are some ways how data helps you extract maximum business advantages:
It helps understand your customers better
We are facing an unprecedented data deluge. Smart business owners can utilize this goldmine of information to unearth insights that help you understand your customers better. Right from user behavior, products seen, and web traffic behavior to their social media data, there are tons of information available. The only thing you need to do is harness a dependable data analytics solution to leverage the data. This helps the business to make smarter data-driven decision making on:
- Customer acquisition
- Customer retention and avoiding churn
- Enhancing the level of customer services offered by your organization
- Powering up sales and marketing function to improve customer outreach
- Spot-on precision in forecasting future business demands
These pointers depict the immense importance of big data.
It helps solve real-world business problems
Your business may be facing problems impacting its foundation. How do you pinpoint the culprit or the extent of the damage? If these variables are unknown, you would not know what remedial measures to apply to various business practices like sales, operations, marketing, or customer support. This is where big data comes in.
The various structured and unstructured data are analyzed to uncover problems that can erode customer loyalty and profitability. When you get the capability to slice and dice data as per your granular insights needs, you get to see the power of data analytics in action. You come to know which areas are your strengths and which areas need improvement.
It helps predict future trends
AI-based data analytics tools can put your online retail brand on the growth path with their powerful capabilities. All you need to do is feed past numbers, and the solution can output likely scenarios that your business will witness in the next few years. Predictive analysis helps you in three key areas.
Seeing future projects - Analytics help to predict specific patterns. These patterns go a long way in predicting demand for a business or a product in the next few years. Of course, this assumes that all variables shaping the pattern will remain constant. But still, it is a much better indicator of future initiatives rather than flying blind.
Figuring the best product price - Many eCommerce stores may have different prices for a particular product. Plus, these rives keep getting updated due to scenarios like the season, festivals, or specific discount days (like Amazon Prime Day Sale). Analytics will help you get the best prices for products so that you can use the same and avoid customer churn to the competition.
Enable customer satisfaction - Customers have various avenues like social media to share their experiences with a product. These comments and likes influence other shoppers’ purchase behaviors. Hence it is important to keep customers satisfied. With AI-based analytics, you know who mentions your brand across various social media platform. If it is a not-so-positive comment, then you ca step in to tell the customer that you are there to resolve their issues with the product and that they aren’t alone. Such proactive measures can be enabled by powerful brand monitoring tools.
It helps understand customers and markets better
No data is just like groping in the dark about the various aspects of your business. Data analytics helps you understand what the inflow is and what are the expenditures of the company. You can come to know if you are able to maintain a competitive edge over a longer period. It helps you understand your market and gives guidance on what you need to do in order to move to the next level of growth in your organization.
Without data, you will apply measures that may or may not yield results. But with data, the risks associated with unfavorable outcomes goes down substantially. With the various data sources, you can organize them in order to extract insights. These include answers to questions like how satisfied are your customers with your product? Or if there any innovative marketing techniques employed by your brand (that you can be inspired by)? This explains the immense importance of big data analytics in business.
When you have so much data, you would also need the right tools like Wersel Data-Hub solutions. They will help you to de-clutter the data, remove the noise around it, and help you with only that information which is crucial for business decision making. Decision-makers will be able to quickly gauge the key takeaways from the data and make decisions that help the business to grow.
These points made a compelling case for your organization to embrace advanced data analytics. If you too want to maximize the opportunities brought about by advanced data analytics, then the team at Wersel will be ready to help. Our domain expertise in eCommerce data analytics makes us a preferred partner for your online retail business success.