In today’s environment, more businesses are competing for Canadians’ attention. Whether it is a big box store or an online shop, consumers have a lot of options. While many companies have captured big data to understand their customers for years, harnessing that data to predict customer preferences and choices is the differentiating factor that will separate the winning businesses from the losers.
More information is available from multiple channels, whether it is an email subscription data base, loyalty programs including loyalty cards or demographic information captured through social media, more companies mine through the data and analyze to improve consumer relationships.
Big data describes a dramatic shift in the quantity of data available to companies: Far more data, of many more types and sources, arriving more quickly. Companies of all sizes and in all industries wonder if big data can be a significant game changer for them as it has been for others.
So, why does big data matter for companies?
Big data reflects the increased digitization of business and of life. Today, many consumers connect with peers on social media channels, access emails and make online purchases from their mobile devices. Taking into consideration how consumers connect today, it is no wonder that they have come to expect tailored offers and services based on consistently delivered rich data-based interventions that ultimately builds long lasting, strong customer relationships.
Companies often talk about using data to make better decisions. They talk about becoming “data driven” or “speaking with data.” Yet, the data alone does not help companies enhance their offerings to customers; it is the insight that results from this data that is the key delivering tailored experiences. Data-driven companies don’t just collect data; they use sophisticated analytics technology to find new insights about their customers.
While big data is important, it’s more important for companies to use the insights to make predictive decisions. Data can be harnessed to help organizations of all sizes realize the promise of advanced analytics and decision management via cost effective, scalable cloud and on-premises solutions.
BMW utilized big data to offer personalized leasing and financing options to their customers. To do this, the car company tapped into their available customer data to personalize communications with those customers. As a result, they were able to tailor call volume, timing and message based on their customers’ particular circumstances, status and previous communications results.
By applying a decision management solution, BMW was able to determine which strategy to apply to which customers, where any change in customer status dynamically affected the strategy deployed. Customized two-way communications was then used to reach out to customers using voice, SMS, mobile applications, email and other channels.
Big data utilized through a decision management solution has become the new normal for companies vying for consumer attention when so many options, customized to their preferences, are available today. As we head into a new year, businesses vying for consumer attention should have big data coupled with a decision management solution as part of their customer acquisition and retention program.
Whether it is customized retail experiences or a car company tailoring consumer communications, organizations have to offer solutions that make sense to each customer. Consumers already expect tailored attention from the businesses they interact with, and the ones that don’t engage with them in a meaningful way will likely be left behind in the dust.