Big data: it’s all around us, from the social media we use every day to our children’s education system. it’s integral to scientific disciplines like astronomy and huge corporations like Amazon. The benefits of big data don’t stop at these large-scale enterprises though.
More and more entrepreneurs are discovering the benefits of big data for small companies as well, and you could be one of them. Keep reading to learn how big data can help lead to profitable growth for your small business.
What’s “Big” About Big Data?
The term “big data” may sound intimidating and beyond the scope of a smaller company, but data doesn’t have to be Google-sized to be considered big. Big data is about a way of relating to and processing data more than a sheer volume of data. The “big” in big data refers more to the comprehensiveness of the data than the absolute amount.
You need big data when a sample simply won’t provide enough information to allow for an accurate conclusion. Analyzing only a sample of the data that is available to you could mean missing crucial connections between data points.
Considering all the (big) data available to your small business as a comprehensive whole will allow you to make fully informed decisions based on customer behavior. Harnessing and analyzing this data can help you understand your customers better and increase sales.
How Can You Use Big Data for Small Companies?
In many ways, small companies are actually better equipped to work with big data than larger companies. The absolute amount of data to deal with is smaller, so it’s possible to perform data analytics on all of it more easily and rapidly. Small companies are also more flexible and adaptable, so it’s easier to make the switch to dealing with big data.
That being said, there are still plenty of common data management mistakes you might be making, so be sure to use your data wisely!
When Should You Use Big Data?
One excellent use of big data is for understanding customer behavior on both a collective and an individual scale. Customer relationship management software and other data analytics tools for businesses can help keep track of each of your customers and spot trends.
This will allow you to make more informed and evidence-based marketing choices. For example, if you use data analysis to learn that your customers spend more money on Thursday afternoons, you could send out a marketing email right when they’re most likely to want to buy from you already.
Whether you are looking at the big picture or the individual pieces that make it up, you must look at every piece of the data (i.e., big data) to truly understand the situation.
Now that you know the benefits of big data for small companies, it’s time to start experiencing those benefits for yourself.
You will discover that big data on whatever scale you can access will be beneficial to growing your business and increasing sales. If Google and Amazon can benefit so much from big data, imagine the change it can make for your small company.
Learn more about business intelligence services that can help you analyze and act on the data you collect.