Discover in this post the importance of data analytics in everyday business. Learn how data analytics helps businesses to grow and become productive. And what are the key roles of data analytics in business, marketing, and management?
So let’s start:
Data analytics, data analysis, business data analytics are the modern technologies and methods to take business decisions intelligently. Business Data whether it’s collected and managed manually or technologically, it’s very important. Most businesses and organizations are data-driven. The importance of data in business in modern times is at its highest level.
Business applications or software that you use to build, run and grow your business generates a large amount of data that we call big data. Data analytics tools and technologies help you to visualize meaningful data through charts, diagrams, pivot tables, the past performance of the business and what’s working and what can work in the future? The goal of processing data through data analytics, filter, model is to generate meaningful information.
Data analytics, data science and business analytics is more popular in the last 10 years as you can see in the google trends image below. For example, in the following image, we can visualize and analyze the data analysis, data analytics, data science, and business analytics trends.
Now 1st conclusion is that data analysis is consistent in its process. While data science is more popular from last year but now getting up and down. The other conclusion can be that more and more people want to learn and use data science skills in careers and businesses. You can program various patterns, conclusions and visualization in the data analytics application. But the right or wrong decision is highly impacted by filtered data and experience or knowledge of the decision-maker.
This is just an example in which we can see trends related to data. There are various other things questions included in this trend such as country, search terms, business category. Google trends application explored the data and you can explore various search terms. And that insights can be used for business, marketing and content creation. This is also an example of what data analytics tools can do for your business.
Explore: Why do web analytics play an important role in the success of a website
Mostly data analytics is used for intelligent decision-making and competitive business advantage. But it’s also important to build meaningful data models. And after that, the training of models has to be unbiased and with good ethics.
Even we use data in our daily life that might be not calculated yet but have higher possibilities in the future especially with the use of IoT devices.
For example, we have a fixed and dynamic method of putting salt in the food. We take this decision based on our own judgment or guts or pattern and based on spoon size. But the taste will be different every time as cooking food is a dynamic function.
Now the question is, how to put the correct amount of salt in each time and per each dish as per your interest (personalized)?
Now it looks difficult and complex to figure out it?
Because each time your mood, mindset, focus, dish, time, heating is not the same when you’re eating the food or cooking the food.
But is there any need to calculate the amount of salt required in each dish based on the quantity?
You can find it is mentioned in packed food or fast-food packet the amount of salt, sugar, calories, and various other things. But does that all or only for you?
So, might be you don’t need to calculate the salt amount in food, but you definitely want to know where to invest money in business? Where to put more hard work? What to market? What type of people is good to hire? What kind of technologies is good to use in business? How much to spend on the PPC ads? etc. And there are more than 1000 questions in business that needs proper analysis.
Explore: What is Google Analytics? How it can help you in your career and business
All of these questions required intelligent decision-making because your business goals are to increase the speed of productivity, accuracy in accounts management, consistency in business growth and you want to prepare for future challenges and competition.
And the biggest challenge is that you also have to protect the customer trust, user experiences, and brand value. While taking business decisions in higher posts or as a CEO.
Now, who will help you with this?
The popular and simplest answer is: Data science, data analytics process, and data analysis will help you to make good business decisions for growth with minimum risk of failure and without losing the brand reputation. Now that will increase the turnover and profit but also increase the business value. And most importantly customers will be delighted with your new launches.
With the help of business data analytics tools, you can launch and promote the right product for the right customers. That’s why data analytics is important in all types of business and organizational, medical and educational activities. And very important in business. Data analytics explore new business growth opportunities. And you can take the advantage of technological creativity.
But data analytics and even proper data analysis are not the guarantees of good business decision making. It only helps you to see what’s working and what’s not. But the decision of improvement and innovation highly depends on you. It’s good for competitive advantages in marketing and productivity.
It’s ok to adjust with more salt sometimes. But you know how costly it can go to put or launch the bad product in front of customers.
So why even think to build such a product? And data analytics will help you to think practically and efficiently. You can transfer this intelligence across the branches and team members.
You can’t do internal changes in the business based on external data. There are various verities of data similar to food items. Not all types of data are important for you.
We all started with data from our childhood and we have made many decisions based on that. Data is important from peon and to CEOs. Even it’s important to build complete data architecture and process to collect data. Data is important in business.
But data without filtrations have no use. You need meaningful data. That’s why we use computers. How to make it meaningful or how to identify what is meaningful is a matter of data science. Data analytics filters the data and makes it easy to analyze.
To make a decision you need to identify specific, repetitive, certain, uncertain, predictive, non-predictive data to make a decision.
For example, you are getting more conversions from the US than the UK. Now you definitely invest double in the US. And build a different marketing strategy and product variations for the UK.
To use following steps can be helpful:
- Collection of specific data in a database or Microsoft Excel spreadsheet. It can be related to product development, decision making, marketing, customer support, sales and accounts. Explore: Importance of Microsoft Excel in Business
- Creation of data analytics application as per the data category or to use existing data analytics or business analytics services. So that you can visualize and identify or analyze the important data to make decisions. Explore: Importance of Data Visualizations Tools
- Automation of data analysis and speed up decision-making. After combing and training various data models and patterns.
You can also take a good decision without data analytics tools and technologies. But that knowledge or certain identification is only in you. But if you want to automate that power and skills, how you will do that? Definitely, you can hire experts and also train them as per your business ethics and decision-making.
But when they leave you to have to do it again. But what if you get a system and proper process to make a decision. So that no matter, who is there, if business software or visualization is indicating the website traffic is lower then it’s decreasing and then definitely it is. And with the right tools, you can investigate the problem systematically without thinking 100’s of things. You only have to think