What is data analysis, big data analysis, business intelligence, etc.?
It is a technology where IT resources are used to “track” and record everything that your clients (guests, users) are doing online (and/or offline). Everything they do is represented by a data point on your screen. For example: When and who clicked and where? How long did they stay? Where did they come from? Where do they go next? And so on… With all this information you can create stories.
Why all this is good for you?
Short version: So that you know what strategy makes your customers, clients, and users happy! A strategy that solves their problems and makes their wishes come true. This won’t just make them spend more time on your page, but they will come back more frequently and will buy more – even recommend you to their peers!
Long version: In smaller villages there is a phenomenon: The most successful convenient stores are the ones where the owner pays attention to what their customers want or need. They know which brand is preferred when it comes to hygiene products. They know everyone, who buys pastries frequently and what kind of fruit is the one that nobody wants. In small communities like these, the time and place is given for stories and the shopkeeper can listen patiently to what the customers have to say, why they buy things and what it is that they like or dislike about the store.
In the “Internet village” the space is bigger between sellers or suppliers and the customers. They don’t necessarily meet and over a certain number of clients it is physically impossible to listen to every feedback or story. Still, the stories of the users are essential to every online business that wants to be successful – be an e-commerce site, a startup, an online media provider or anything else.
This is where (Big) Data comes in. If you can collect your visitors’ online fingerprint and footprint you can obtain the information that is needed to truly know them. Who are they? What do they want? What pain points do they have? What are they looking to get from you? And much-much more. In the “Internet Village” you have amazing new opportunities: You can run A/B tests, (“the red or the blue button helps to convert more people?”) data based recommendations (did you buy a speaker set? Buy a headphone too!) and a lot more – even what you haven’t thought about yet.
What’s the first step into a Data Driven Business?
The first step, without exception, is always the same – ask the right questions. You have to have a clear goal that you want to reach. You want more email subscribers? More sales? Better ROI on your marketing channels? Specific profiles of your customers? These goals can only be reached with different data analysis methodologies. The data36.com blog hopefully will help you to ask the right questions – and help you to know how you can get the right answers with the help of data driven business development.
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