August 25, 2015
Is Big Data just a fancy asset or a strategic one?
Technology has evolved so extensively to the point that customers are pampered beyond imagination. Every company has started treating all of their customers like rock stars, despite having huge customer bases. And how are they able to recognize every single customer? There is a very simple answer to this tricky question - Big Data and Analytics. It is one of the few technologies that has been able to continuously grow and keep its momentum.
“Put simply, Analytics is becoming both the air we breathe – and the ocean in which we swim.” says a Deloitte report.
As we move from an Economy of Scale to an Economy of Experience, brands rely heavily on big data, treating it as one of their most valued assets. Today, Big Data has become the most critical part of a brand’s strategy. The massive amount of data generated from online and mobile devices, both structured and unstructured, has been the magic key to innovating products that are a perfect fit for a brand’s target audience. Companies have not only learned what consumers are interested in, but also their motivations for re-engaging with the brands.
But, have we moved on to do better than just innovate perfect-fit products?? I would say YES. It’s beyond just creating solutions or products. The next wave will move us from the perfect product to a unique experience.
“Those who can use data to create differentiated insights will win.”says Arindam Bhattacharya, Managing Director, Boston Consulting Group
In an era that concentrates on people, the combination of Big Data and computing lets us analyze behavioral data thus creating a need to anticipate customer needs. This data, when synthesized and analyzed further, will give us the ability to create context, i.e. context specific to individuals. These contexts will allow us to micro-market and micro-target at the consumer level by developing a proactive platform to customized products and experiences.
Future technologies will overcome the inability to react to the buyer’s portfolio, creating a unique experience at every touch point and every level of buying by varying the content, the richness, customer interaction and journey altogether. However, applying the same effort and strategy for a commodity is overkill.
Unlike in the past, an increasing number of technologies are emerging for processing large data on the cloud. These tools provide brands with compelling insights to strategize. Big Data, together with emerging technologies, has disrupted many industries, but this alone cannot be a strategic asset. Brands should learn to balance design thinking and storytelling with the analyzed data for better returns to achieve the economy of experience.
As Big Data Analytics catch on, CMOs and CIOs have to gear up and learn how to make a transition from just big data to strategic data.