Why business analytics is important for your business?





What is business analytics?

On a high level, business analytics refers to the practice of analyzing business data to gain insights about your business and make decisions.

As we go a little deeper, we understand business analytics as a data-driven approach of investigating the business performance using statistical techniques and computing knowledge and conveying the results using visualization to plan business modeling.

Why is it popular today?

With the rise of the internet, online businesses started to emerge. Today, technology has occupied every domain. As a result, technological advancements  (like automated data collection systems ) in every business not only have started to develop but also evolve and get enormous. Moreover, most businesses operate both offline and online today. Thus, Every organization is well equipped with data. According to Forbes,

"we produce 2.5 quintillion bytes of data created each day  and 90% of the data in the world today has been created in the last two years alone."

No matter which industry you work in, there is plenty of data present and it is only going to increase. Just to give you a small example, Google conducts 3,607,080 searches every minute and Uber riders take 45,787 trips every minute, for instance.

On the other hand, there are more startups today than ever before. And they are trying to run the bigger ones out of business, not be sold to them. The competition is huge in every industry.

The internet and globalization have combined to render almost every company vulnerable to greater competition than ever.

So, on the one hand, you have huge data. On the other, you have huge competition. What do you do?

You use this data to get the competitive edge in the business, BOOM! The hype train of business analytics/data analytics starts its journey.

How it can help your business?

Today, the big giants like Amazon, Google, Ola, Netflix, Microsoft (you name it) use business analytics as their key decision-making criterion. Analytics can help you reduce costs , increase profitability and improve risk management . In addition , it helps you explore new business opportunities. You can -

  • Find and then target your audience - Find out who your customers are, how frequently they buy from you, why they from you and who all bring the most profit.
  • Improve your service - Improve your customer interaction and hence, improve your customer service strategy using feedback analysis.
  • Customize your marketing - Analyze what each segment of customers wants and needs and accordingly, advertise your products/services.
  • Reduce cost - Investigate the cost of each element in your organization and their ROI.
  • Analyze customer behavior and predict trends - The most interesting part about analytics is the predictability. Predict seasonality and trends in the market and stay ahead in the game.

So, you should start with Business Intelligence ( the process of collecting data from all sources and preparing it for Business Analytics ) to make your business grow. But, hiring a business analyst or data analyst is very costly. Or it might be a possibility that you don't need a dedicated employee for this task as you have a small ask from your data. You can head over to webnotch, and we'll do it for you in the most cost-effective manner possible mixed with high analytics expertise.