In the digital age, data has become immensely valuable to businesses. Sources available to gain access to this data are doubling. The things we buy—from smartphones to cars to apparel—all leave a digital trail behind. This data becomes extremely valuable for companies who use it to inform their strategies and modify their offerings. Such is the value of data in these times that it matches with the value of money.
Once companies have access to data, they separate it, analyze it, and then use the findings to deliver top-line benefits to customers. Data is changing the way businesses operate, hire new employees, and market. Usage of data is making a difference to almost every industry. In this article, we are going to explore how businesses are utilizing data for their advantage.
Here are three points to consider when looking at the vast use of data:
Manufacturing businesses acquire huge amounts of data from (IoT) sensors that are installed in their products and all over their factories. Similarly, many organizations are gathering data for a range of possibilities. This data is then used to correlate variations in processes and product quality.
Getting closer to customers
Data analysis is primarily conducted to gain a deeper understanding of the customer, which informs companies about customer needs. Once the companies are aware of customer need, it becomes easier to offer the right kind of product or service. Advanced analytics has helped some sectors like banking and insurance avoid fraud or detect fraudulent activity more quickly.
Cracking down on fraud.
Data analysis can easily help you identify and prevent fraud. Today insurers can analyze all forms of data and identify correlations to prevent any fraudulent claims. According to Morgan Stanley, advanced analytics are able to help insurers decrease the rate of fraudulent claims by 30%. A strong fraud detection and monitoring system will help companies stay on guard and stay prepared against any kind of threat.
Data exchange and monetization
An exchange of data with openness between industries is required at this point. Telecom service providers share user information with law enforcement agencies. Retailers use geo-location and customer footfall data to position their stores and to plan sales around customers shopping activity.
The world runs on data. Companies are waking up to the importance of data around them. Every industry from financial services, to insurance, telecommunications, utilities, and retail have already joined the data-led market.
Want to know more about how data changes can help your business? Click on the link below to watch a quick video and to download the whitepaper Why Data Is Becoming Real Business Gold