(PS: STOP DOING BUSINESS BLINDLY)
You cannot afford to continue doing business blindly and expect to stay on top or survive in today’s world of overwhelming information about alternative offers your target audience can easily access.
No serious business person or entity can continue to do business without some form of data analysis to succeed today. In fact right from fast food joints to commercial banks businesses, data is pouring in as you engage customers. A simple customers’ log-in data as they walk to your stand can harvest enough data to help you better understand and plan your business growth. Keeping register of customers’ visiting time, name, contact and enquiries, complaints or purchases can be analyzed to gauge performance.
Types of Data
The information your business engagement generates can be classified into two simple categories. They are TRADITIONAL DATA and BIG DATA as we prefer to call it in Data Science.
Information generated from a simple customer or client register which can be tabulated for analysis can be referred to as Traditional data. Do you know that you can make simple inferences such as the best times customers come in and what exactly they come looking for? And that these types of insights can easily help you plan your business peak timings and offers that suit them?
There is also this new source of information pouring in digitally that your organization can carefully mine and analyze to aid accurate business decision making. Information from customers’ visit to your website, social media platforms, calls centers etc. can be classified under BIG DATA. BIG DATA is known to pour in, in high volumes, at great velocity and in varieties. You need regular extraction and analysis of such data and implementation of the findings for business success today.
Why Data Analysis?
- You are into business to serve or sell to be paid for the value you bring or offer? However, your target group is not exclusively yours. Customers’ today have a variety of products under one category to choose from. Positioning your product or service to be the preferred choice for customers can only be done with some intelligence.
- Because we have all become somehow social, the choice of product or service for a customer does not only depend on what they know or have experienced, but what others are sharing about your product or service. Intelligently mining data from sources where people are sharing or reviewing products can help you improve your product or service for better reviews.
- Your own internal processes that define your pricing or inventory management need to be on point to avoid low sales revenues and wastage within certain periods of the year for example.
- Your competitor is a just a click away when your business is online. You need to check at what stage do your site visitors leave your website and to which one. Or at what point do they abandon your site during checkout, etc.
- To set measurable KPIs, you need to carefully analyze your data to ascertain some metrics that will define your business performance.
- And of course, you need to be predictively accurate for your next business move to bring in better profit.
Why Do You Need Me?
You see business intelligence analysis requires three key factors:
- Data Skills: The ability to extract information from any form; be it structured in tables, or unstructured from social media platforms or forms such as voice,video image,text etc. Also, the ability to use data Science methods such as regression analysis or more advanced Machine Learning programming to study trends and make accurate predictions.
- Intelligence: The ability to make sense of the data mined to answer business questions such as; what happened, when did it happen, or how many units was sold, etc?
- Intuition: The ability to fall back on past experiences or domain involvements and combine that with present trends to predict the future for business growth. For example, during analysis I fall back on my experience in customer service, client relationship management, IT project management, electronic products retailing and various business developments activities.
Applying Business Intelligence.
- So now that the new school season has just started, you can fall back on some data in the past for the same period and do some analysis. For example in the retail of electronic products , you may observe that the sale of table tops fridges, rice cookers, standing fans units had been higher. Predictively this may be the situation for this time too. You can then restock these items in your various outlets to meet the demand during these times.
- Metrics from the data for example above can help with forecasting sales volumes for specific periods of the year.
- Have you also thought carefully about measuring the user experience (UX) of your website? Data analysis can help with insights into how customers accessing your website are, navigating the sites and if there is a need to make changes, you do them. ……………..to be continued.