Data analytics has completely changed the way companies make products, engage with customers, and even build their business models. One of the most pervading misnomers about big data is that it’s only for big businesses. Nothing could be further from the truth.
If you’re a small business owner looking for ways to grow your brand and drive-up your revenue, then advanced analytics could be your best friend. Why is that? Because if there’s one thing more valuable to your company’s bottom line than the products and services you sell, it’s information. Remember, especially in business, knowledge is power. Continue reading to learn some great ways to incorporate advanced analytics into your brand and, ultimately, increase your profits.
What is advanced analytics?
Even if you’ve heard of data analytics before, you may be scratching your head and asking yourself, “What is advanced analytics?” Don’t feel bad. If you’re not a data scientist, then the term can be confusing.
In short, advanced analytics is a set of processes of auditing data to find obscure and actionable trends. Advanced analytics aids in online searches, streaming services like Netflix and Disney+, professional sports, and even traffic lights.
The chances are that you’ve been using data analytics yourself, whether or not you know it. Still, it couldn’t hurt to be more intentional about incorporating data analysis into your business practices. The biggest mistake you could make is thinking big data is only for big businesses.
Get to know your customers better.
One of the greatest things about data analytics is that it’s like being able to look through your customers’ sock drawers and learn their most intimate details. With customer relationship management (CRM) software, you can keep track of what products specific customers like, how often they frequent your store, and what their most common support issues are. When you know what your customers are thinking, you can meet them with solutions before they even know they need them.
You can also use those insights to tailor your ad campaigns to suit their interests. Have you ever been searching the web and noticed that you only see ads for products you actually use? Well, you can put that same power to work for your small business with advanced analytics.
Find potential customers.
The most valuable insight you can get is what potential customers want from a brand in your industry. One of the great things about data analytics is that you can use it to identify trends in related markets and adapt your business strategy to capitalize.
A prime example would be if you made dog sweaters, and the metrics showed you that single women in their early 20s were the most likely to buy one. You could adjust your marketing strategy to target them. For instance, you could start making sweaters and garments for young women that match your dog sweaters. Of course, that means the pressure’s now on to make sure your garments are fashionable, but you could spawn an entire fad simply by following the data.
Advanced analytics can help you see changes in your market before they occur.
It’s one thing to find a new market for a product you already make, but data analytics gives you the power to create products and promotions with specific clients and customers in mind. Predictive analytics is a type of data analysis that focuses more on predicting future trends based on past data than helping you to analyze what’s going on in the moment.
If you’re skeptical about the abilities of predictive analysis, consider this, police forces all over the country use it to predict where a criminal on a spree will strike next. You can use that same technology to figure out what’s going to be the next big trend in your market and make sure you’re in front of it.