The hunger for collecting information into what is commonly called Big Data has become a goal in itself, far removed from the original reasons for retaining transaction data from a variety of business processes. Enterprises have worked hard to collect, organize, and secure the growing volumes of data over the last few years, and most now have stable but growing datastores.
Now that all that data is safely contained in your data center, it's time to make use of the information to increase profits and generate additional revenue. Start with these four initiatives to get a return on your data investments.
Personalize the user experience
Neil Capel, CEO of Sailthru.com, said he concentrates on customer experience when analyzing data. He recommends creating unique user profiles using the broad set of information contained in the datastore, so each email, in-app, or on-site communication can be personalized to the customer's tastes and preferences.
“Through this, they can reap the profit benefits of customer engagement derived from personalized communication,” Capel said.
With help of the profiles, the company can then build intelligent agents into its ecommerce systems to make personalized recommendations that are more likely to appeal to customers than more generic ad-targeting technologies.
Customer churn is a significant issue in determining a company's value. According to Gainsight.com, VCs are paying attention, saying that every 2% gain in retention equals a 20% bump in valuation.
Analytics applied properly can take diverse siloed data and virtually merge it into accessible information. Gainsight's CEO Nick Mehta explains, “In one platform, Gainsight provides a real-time, 360-degree view of customers, helping clients to reduce churn, increase upsell and drive customer success across the entire organization, from sales to support to C-level execs.”
Performance in a vacuum can lead to false assumptions about overall success. Comparing products or processes within an enterprise can provide useful insights.
Pete Koliopoulos, a director for the enterprise computing solutions segment of Arrow Electronics, believes that viewing customer trends can point out ways to leverage those comparisons.
“Comparisons between growth rates to other like customers or market growth rate is another leverage point from the data store,” he said. “This allows the audience to know more precisely where they are in relation to peers or the market. That drives actions to improve and gain advantage.”
Read more: Get A Return On Your Big Data Investments