An organization’s data is considered the most vital asset of any enterprise. Companies that don’t understand the value of data and why managing it is crucial are likely to face challenges in the today’s digital revolution. For small and medium businesses that are continually facing an increasingly competitive market, understanding data and how it can be used is critical.
Your business could survive without gathering customer data and having proper data management, but there are lots of reasons why data is vital for your business. Here are some of the reasons why data matters.
Better Understanding of Your Customers
Businesses that leverage the insight big data can provide about their customers are able to achieve tremendous growth. According to Dooblo, an online mobile survey app, gathering and managing data helps you better understand the target market, who your customers are and what they’re most interested in.
With clear data insights, you can go from thinking to understanding customer behavior. When your business analyzes the data that is collected, it’s much easier to identify customer trends and even predict market opportunities for your business. Predicting changes in the market is critical for your ability to be flexible and agile to the ever-changing customer needs.
Improves Decision Making
The right data helps businesses answer critical questions that help them become more successful and competitive. Data helps your business become more informed, efficient and in a position to make wiser decisions. With the widespread availability of critical business and customer data across an organization, better fact-based decisions can be made.
If you look at most successful businesses today, the majority of the top-level strategic decisions and business plans are usually based on big data. To ensure that the data collected is valuable, you have to improve data quality and access.
Improves Business Operations
Strategic data can help businesses run smoothly and efficiently. From customer services to warehouse management, sales to inventory management, data is the basis upon which businesses are able to improve their operational processes and actions. Businesses spent over $20 billion in big data services and technology in 2015 alone.
This has in part played a role in streamlining operations, eliminating waste, improving quality control and driving continuous improvement in various business processes. Nearly every aspect of business can be optimized and improved using data.
Helps Deliver Better Products or Services
Big data helps create a whole new customer value proposition. With accurate data in your hands, your business is able to deliver better products or services to customers. For instance, when you download any mobile app, you’ll likely be asked to rate the app at some point. Why? Because the data helps app developers improve app performance and user experience.
Using the data collected, businesses can monitor performance, sales and customer interaction with each aspect of their business products and services. Are more people asking about your services on social media? This could help you improve your social media marketing strategy for your services or products. Big data offers the insights you need to serve your customers better.
If you’re still convinced that big data isn’t relevant for your business, you’re missing the boat. If data is properly collected, managed, updated and enhanced, then faster access to all employees in the organization is facilitated, increasing overall business and employee efficiency. Big data is an asset for every business and having a strategic plan on how to collect, use and protect data is critical in ensuring success.