5 Steps to Getting Started With Big Data for Small Businesses

So, you must have heard something about big data. The information you received may have made it seem as though big data is only for large corporations.

Big data is large amounts of data sourced from a business’ activities. It is not normal data hence; it cannot be analyzed so directly. It is true that big data is more suited to large companies. However, this is because big data analytics are known to be costly and time-consuming.

Thankfully, times have changed and developments in business now make it possible for everyone to benefit from big data. As a small business owner, it is essential to take part in its great benefits. This is made possible by the application of suitable tools and techniques.

Read on to learn 5 effective steps to getting started with big data for your small business.

1. Know your customers’ preferences

Data analytics starts by gathering the data acquired from customer activities also known as transactional data. With big data, you can develop highly customer oriented services because you know what they want. Start by gathering data on their experiences and behavior from any device such as laptops or phones.

2. Create a system that can identify trends

Trends in business tell you what is going on with sales, satisfaction, and so on. To benefit from big data, you must create a system that displays important information also known Key Performance Indicators (KPI’s). The system should be efficient enough to identify trends which occur in the market. A business analyst can be of great help in this area.

3. Invest in data solutions

Yes, the cost is the primary reason business owners avoid using big data, but that is hardly necessary seeing as every business requires a good investment to be successful. Invest in some data solutions to enhance your methods of acquiring, analyzing, and interpreting your data. Suitable examples for small businesses are SAS, Google Analytics, IBM Watson Analytics, and much more.

4. Know what your needs are

The tricky thing about big data is that it can provide accurate information but can also be misinterpreted. If your needs or questions for the data are not defined, the information may become useless or part of bad decisions. Take the time to review every department in your business and determine their needs. This will help you with proper analysis and interpretation. Some questions you may develop include:

• Who are our best customers?

• What do customers want?

• What brands get the most attention and why?

5. Take action

The reason why you should use big data is to get results. Results do not come from inaction. After acquiring, analyzing, and interpreting your data, the next steps should be geared toward achievement. What do you do with the information provided by the data?

Big corporations, who use big data, take action to enjoy the following benefits:

• To gain a competitive advantage by tailoring services to customer’s needs.

• To make effective business decisions

• To mitigate risks.

• To monitor business performance

How Big Data Can Be Used for Your Business

The expression "data analyst" summons pictures of a solitary expert working alone, applying obscure recipes to boundless measures of information looking for valuable insights. Information investigation is not an objective in itself. The objective is to use the information to empower your business and develop and craft strategies that improve operational efficiency and profit margins.

In this article we take a look at how an experienced data analyst in Washington, D.C. is qualified to give your business a competitive advantage against your competitors through the analysis of big data. 

Embracing Big Data for Your Business

Big data is an all-inclusive term that often refers to large amounts of information. Traditional data is typically relational data found on internal databases. Conversely, big data is collected and generated in large volumes and varies in frequency, variety, volume, and value.  

In most small to medium sized businesses big data is a moderately undiscovered resource that organizations never exploit yet should. Big data does not simply provide trendy information and statistics, but rather genuine case studies that uncover what's going on now, and what is prone to happen in the future in each niche group. These glimpses into the future provides your business with the opportunity to gain insightful projections that prove valuable during quarterly planning events and development. 

Big data use and implementation is best observed in the accomplishment of online powerhouses, such as, Amazon, Google, Facebook, and eBay. Through proper big data sorting, development, and monitoring each online influencer provides a detailed account of just how effective and useful big data is. For example, through the analysis of big data Facebook is able to position local businesses in front of consumers most likely to buy based on online behaviors, locations, and interests. Likewise, Amazon provides detailed shopping recommendations based on transactional coincidences, search, and behaviors within the website. 

Understanding Big Data

Without the proper application of big data many companies fail to harness the power of innovative databases that are readily available to them. To understand how big data is utilized in general you can equate big data analysis as the same process employed for drilling oil. When an oil rig works to drill for oil it begins by slowly chipping away at the surface. Once the surface is successfully penetrated with the least amount of surface or environmental disruption the rig begins to drill deeper and harder. Often the deeper the drill digs the more accelerated the pace. 

As so it is with big data. The more information there is to sort and analyze the slower the process is likely to be. Initially, identifying the type, variety, and volume of the data sets the tone on the types of outcomes to expect from the data and how it is most likely to benefit your business.

As you undertake the task of gathering, sorting, and analyzing big data remember to allow your data analyst in Washington D.C. to work at a pace that makes sense for your business, objectives, and information. Consider that our digital era produces an alarming amount of data and information every second. The rate at which this information is gathered and sorted duplicates at regular intervals, consistently daily. 

Types of Use for Big Data Findings

Once your business has embraced the value of big data you must determine what to expect and identify tangible outcomes that can be derived from this data. Begin by asking general questions such as what sort of significant worth big data in transactions and shipping are likely to provide. Or asking particular questions to better identify your target market.

From a quality perspective, the utilization of big data is often categorized as one of three measurements: 

Effectiveness

Operational effectiveness directly affects the way your business runs, interacts with customers, and supplies your products or services. For this situation, information is used to settle on better choices, to upgrade asset utilization, and to enhance process quality and execution. Ensuring that your business is effectively operating and serving customers efficiently is the first step in keeping your company competitive and savvy within your industry. 

Often discovering how your business is operating and identifying various areas of improvement saves time, reduces downtime, and conserves your resources. As your data analyst works through big data trends and outcomes, various patterns emerge that offer key points on how to simplify your operations for optimal interactions with each transaction or project.

Experience

The second measurement is client or customer experience. The largest point and purpose is to increase or improve customer loyalty, perform exact client segmentation, and improve client or customer handling. Big data pushes CRM strategies and helps all customer oriented practices to be relevant, controlled, and measured.

Likewise it also empowers you to discover new plans of action to supplement income streams from existing items, (also known as upselling), and often propels thoughts of innovation to improve customer experiences and sales funnels. When using big data to improve the way your customers or clients interact with your business you gain valuable insights that help you to strengthen your brand and authority within your industry organically as well. 

Marketing

Data driven advertising continues to grow in popularity as more and more business turn to digital marketing. When big data is used to identify target audiences the return on investment is often positive. Marketing data sheds light on how your business can create relevant messaging, identifies proven pain points that your company solves, and gives you a competitive edge against your competitors. Big data is compiled in many ways such as via mobile behaviors or website traffic patterns.

Utilizing data gathered based on how visitors interact with your website, how many conversions your sales page secures, or how long a user spends on a webpage on your website provide valuable tips on how to build your next campaign.

Big data is one of the most essential parts of any business. As your business begins to embrace the use of big data, you are sure to learn more about your business than ever before. Some of the most simple and reliable ways to acquire big data is to first examine your internal databases and then explore industry norms and standards. Your data analyst will sort, gather, structure, and present this information to help you gain a competitive advantage in your industry, as well as provide you with a solid starting point for any projects or operational changes on your calendar.

Not sure where to start or if you need a data analyst? Read our quick post, How to Use Data Analyst for Your Business to get started.