Cookies help us display personalized product recommendations and ensure you have great shopping experience.

By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
SmartData CollectiveSmartData Collective
  • Analytics
    AnalyticsShow More
    sales and data analytics
    How Data Analytics Improves Lead Management and Sales Results
    9 Min Read
    data analytics and truck accident claims
    How Data Analytics Reduces Truck Accidents and Speeds Up Claims
    7 Min Read
    predictive analytics for interior designers
    Interior Designers Boost Profits with Predictive Analytics
    8 Min Read
    image fx (67)
    Improving LinkedIn Ad Strategies with Data Analytics
    9 Min Read
    big data and remote work
    Data Helps Speech-Language Pathologists Deliver Better Results
    6 Min Read
  • Big Data
  • BI
  • Exclusive
  • IT
  • Marketing
  • Software
Search
© 2008-25 SmartData Collective. All Rights Reserved.
Reading: 5 Keys to Understanding Big Data Analytics for Business
Share
Notification
Font ResizerAa
SmartData CollectiveSmartData Collective
Font ResizerAa
Search
  • About
  • Help
  • Privacy
Follow US
© 2008-23 SmartData Collective. All Rights Reserved.
SmartData Collective > Analytics > 5 Keys to Understanding Big Data Analytics for Business
AnalyticsBig Data

5 Keys to Understanding Big Data Analytics for Business

Steve Jones
Steve Jones
6 Min Read
SHARE

The problem with “Big data” is that it gives the impression of servers of information, of something only open to large corporations that build data clouds with petabytes of information while small businesses have to make due with inferior programs.

That is not true at all. In fact, small to medium businesses (SMBs) have serious advantages in using data as they are closer to the ground and can change faster. SMBs can also take advantage of the growth in big data analytics, which uses analytics to identify important patterns in data and come to a conclusion.

Don’t think of Big Data, but rather of Smart Data which requires innovation and a willingness to change. Companies that can innovate with data will thrive over their competitors regardless of size. A few examples and keys should show how a small business can use big data analytics to get the most out of its resources.

1.      What is the Problem?

More Read

Advanced analytics, particularly predictive and statistical…
A Look into Big Data Applications for Law Enforcement
Big Data In Hockey Takes The Sport By Storm
Why 360-Degrees Customer Profiles Created With Big Data Are Nothing New
Data Shortcuts So You Can Spend More Time Managing Your Business

Technology and data is a means to an end. It is not an end in and of itself. As Keith Carter with Search Business Analytics observes, copying increasing amounts of big data into spreadsheets and relentlessly categorizing it “typically provides no value in and of itself.” This is another reason why I don’t like the word “Big Data”, as it encourages such big, wasteful behavior.

Before setting up a cloud-based platform or using analytics, a business needs to answer what problems it wants to solve with data. This can range from gauging customer satisfaction to finding ways to improve on supply chains. But data for data’s sake is a waste of time.

2.      The Right Kind of Data

While there can be such a thing as too much categorization, businesses need to make sure to focus on the right kind of data. Web traffic is a good example. Every business wants to increase web traffic, but the real goal should be to target specific demographics which your business truly desires.

At the same time, businesses have to ensure that different departments share the different kinds of data they possess so that a data analytics program can have more information from the whole company and not just a part. The digital software data company Cloudera points out that the most successful companies which use data can easily share sales data or production data with one another.

3.      Tracking Inventory and Pricing

If you regularly use Uber, you have probably heard of surge pricing, where Uber changes the price of rides when demand is high to encourage drivers to drive in busy hours. Surge pricing works because Uber has embraced a data driven-approach with algorithms that can monitor traffic conditions and adjust prices in real time.

In addition to Uber, other companies like Walmart use analytics to constantly account for inventory as demand suddenly spikes. Small businesses can do similar things too, by providing a more detailed analysis of peak customer hours and orders. Small businesses already have a speed advantage over large corporations, but now that advantage can be increased with a steady flow of data and analytics.

4.      Data and Predictions

Businesses cannot just react to whatever crisis catches them off guard. They need to prepare for unlikely scenarios, which means predicting the unpredictable.

That is precisely what Eddie Madan, CEO of Edkent Media, advises his web design clients—data analytics, especially predictive analytics, exists to do. “By looking at patterns of information, analytics can detect when something has gone wrong and move to fix the problem before it gets worse,” says Madan. “For example, a bank can use behavioral analytics to note a sudden withdrawal or a radical change in a customer’s account to stop fraud or hackers, while courts can use analytics to predict whether a convict up for parole is more or less likely to re-offend.”

Past performance does not guarantee future results, and strong leadership is needed to judge analytical results. But this sort of analysis can help any business.

5.      Big Data is Constant

Businesses should think about what problems they want to solve before investing in data and analytics. But this does not mean that businesses should scrap their analytics programs once the problem is solved. Big data analytics can be used for purposes beyond the original problem, especially for smaller problems which your business may have originally decided was not worth developing an analytics program.

While your business should make sure not to think that everything can be solved with analytics, be creative in thinking of new ways which an analytics program can help your business. Just look at the Point Defiance Zoo, which originally created a data program to help manage attendance in regards to the weather. After that succeeded, the zoo used the analytics to track when to offer ticket deals and is now looking into using data to help the animals.

The result from constantly looking for new ways to use data is better sales and new ways to improve which a business may not have thought of before. All it requires is some creativity.

Share This Article
Facebook Pinterest LinkedIn
Share

Follow us on Facebook

Latest News

sales and data analytics
How Data Analytics Improves Lead Management and Sales Results
Analytics Big Data Exclusive
ai in marketing
How AI and Smart Platforms Improve Email Marketing
Artificial Intelligence Exclusive Marketing
AI Document Verification for Legal Firms: Importance & Top Tools
AI Document Verification for Legal Firms: Importance & Top Tools
Artificial Intelligence Exclusive
AI supply chain
AI Tools Are Strengthening Global Supply Chains
Artificial Intelligence Exclusive

Stay Connected

1.2kFollowersLike
33.7kFollowersFollow
222FollowersPin

You Might also Like

predictive analytics and stock trading
Predictive Analytics

Will Predictive Analytics Help Forecast Profitable IPOs for Stock Traders?

5 Min Read

Essential Elements of Data Mining

13 Min Read
Analytics
AnalyticsBig Data

The Data Driven World: Is it possible to Leverage on Analytics to Recognise Market Trends?

5 Min Read
Image
AnalyticsBig DataData MiningData WarehousingExclusiveModelingPredictive AnalyticsSentiment AnalyticsSocial Media AnalyticsText AnalyticsUnstructured DataWeb AnalyticsWorkforce Analytics

What Really Is Big Data? And Why It Will Change the World

13 Min Read

SmartData Collective is one of the largest & trusted community covering technical content about Big Data, BI, Cloud, Analytics, Artificial Intelligence, IoT & more.

ai in ecommerce
Artificial Intelligence for eCommerce: A Closer Look
Artificial Intelligence
ai is improving the safety of cars
From Bolts to Bots: How AI Is Fortifying the Automotive Industry
Artificial Intelligence

Quick Link

  • About
  • Contact
  • Privacy
Follow US
© 2008-25 SmartData Collective. All Rights Reserved.
Go to mobile version
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?