How Does Big Data Analytics Help Businesses Increase Revenue?
Updated on Jun 9th, 2023
Lately, there’s been a lot of buzz about big data. In fact, according to Gartner, Inc., a projected 70% of companies will redirect their attention towards small and wide data by 2025, aiming to enhance analytics with greater contextual information.
But just a few years ago 60-70% of companies were wasting their data. Naturally, you do not wish to be a part of this section when you can stand out by harnessing the power of data. And the best way to do that is by relying on big data and analytics.
So do you wonder what exactly it does? How does it make extracting relevant insights efficient? How big data analytics helps businesses increase their revenue?
Well, for one, it allows businesses to explore their company’s data statistically. Here, “statistics” do not stand for commonly used numbers. These are advanced statistics displayed interactively through simple dashboards.
While that sounds exciting, you will be surprised to learn that 53% of enterprises are already on it. They have cracked the answers about how big data analytics helps businesses increase their revenue.
So, whether you’re a business owner or a stakeholder, it’s time to get your A-game on with big data analytics. What’s even more important is that you should get started now! Read the blog to understand how big data analytics helps businesses increase revenue. If you stick to the end, we have brownie points for you to start immediately!
Table of Contents
What is Big Data Analytics?
Before we answer the big question, you should understand the basics.
Big data emerges as a treasure trove of uncharted knowledge in the vast ocean of information. It encompasses extensive unstructured, semi-structured, and structured data from diverse sources.
But what are these data sources? They can be anything from customer databases to social networks and even scientific experiments.
Big data analytics is like a wizard that sifts through mountains of data. It can search for hidden patterns, meaningful relationships, and emerging trends. It’s like finding the missing puzzle pieces. And these pieces hold the keys to understanding a business’s past, present, and future.
That’s why big data analytics’s expected growth rate is a CAGR of 13.5% from 2023 to 2030.
Still, how big data analytics helps businesses increase their revenue seems pretty unclear.
If we put it simply, it arms you with precious insights. You then gain the upper hand in making informed decisions. And that’s how it transforms their products, marketing, sales strategies, and operations. However, having expert digital transformation services by your side is pivotal.
Slowly, the technology untangles data allowing companies to revamp their data architecture. They consolidate scattered data fragments while bidding farewell to outdated legacy systems.
All of this may seem big mouthing. But the below given facts can clear the air for your confusion.
How Does Big Data Analytics Help Businesses Increase Their Revenue?: A Synopsis
Many still think of big data analytics as a data manager. Little do they know it has a lot more to offer.
Explore how it propels businesses to revenue-driven success. This synopsis unveils the key transformative potentials of big data analytics.
It can Deliver Valuable Customer Insights.
Big Data analytics is increasing customer retention by up to 58%.
But again, the question is how.
In a nutshell, big data provides insights into user preferences, buying patterns, and pain points. The details help personalize marketing campaigns and targeted product development. Also, businesses reduce the time and money spent on these two hectic tasks by getting all this information in one place.
More importantly, it improves the customer experience. Consumers become loyal customers, which ultimately aids your brand value and revenue.
Big Data Can Optimize Your Pricing and Revenue Strategies
Confused about pricing strategies? Try big data analytics.
Relying on unfit pricing strategies is often due to overlooking factors like the larger economic context, individual product preferences, and negotiations with sales representatives. They provide insights into prices for different customer segments and products.
Big data analytics reduce the chances for you to miss these elements.
But you need good analytics and skilled data consulting services to ensure the proper assessment. They can help you optimize pricing and revenue strategies.
Predictive Analytics for Sales and Demand Forecasting
Ever heard of a crystal ball telling the future for your sales prospects? Predictive analytics is pretty much that.
It evaluates historical and present sales data, enabling businesses to forecast sales outcomes. Statistical modeling, data mining, and machine learning algorithms are a few techniques behind this. They also help identify datasets revealing potential opportunities and risks.
So once you integrate predictive analysis, you start understanding how big data analytics helps businesses increase revenue.
It can be a great tool for multiple business objectives if you can conveniently access first party and third-party customer data. A few areas where it can do wonders are:
- Recognizing high-quality leads
- Establishing appropriate business objectives
- Allocating budget for annual business expenses
- Enhancing customer satisfaction
- Maximizing resource utilization in the optimal direction
Boost Your Marketing Efficacy
Big data empowers marketers to understand customer behavior, preferences, and demographics better.
If you’re into digital marketing, you can create an alter ego of your user using big data analytics.
It can gather data from multiple sources like social media, customer feedback, and website analytics.
In fact, a survey by Ascend2 revealed that 99% of marketers agreed that data-driven marketing is vital for business success. The below-given graph sums up other acknowledgments of the study:
With this data, we can say that with big data analytics, your marketing teams can:
- Fine-tune pricing strategies
- Enhance customer relationship management
- Minimize customer churn
- Prepare editorial calendars
- Improve user experience
It can Streamline Tasks To Save Costs
While telling you what to do, big data analytics also hints at what not to do. It helps identify inefficiencies, bottlenecks, and areas for improvement in business operations.
With it, you can identify the lucrative and non-lucrative areas. And that’s how you can invest your efforts in the right direction. The streamlined steps will reduce costs as resource wastage minimizes.
Capitalize Industry Trends With Big Data Analytics
Be it retail, e-commerce, or healthcare; every industry can leverage data insights.
Big data analytics can help businesses align trends and best practices irrespective of domain. On that note, let’s explore data analytics use cases within various industries.
Use Cases of Big Data Analytics
Tired of reading about do’s and don’t of big data?
The below-given information will enable you to understand its impact in an industry-specific way. With these insights, you can learn how to integrate this technology into your business process.
Don’t you like it when brands offer you suggestions based on your digital interactions? Well, those brands are retailers who use big data analytics efficiently. The technology helps them analyze customer preferences and buying behavior to create personalized shopping experiences.
So, if you’re in a retail business, it’s time you buckle up with data! Start managing your inventory to match it with customer demands.
And, for your motivation, here are some convincing stats that show how big data analytics helps businesses increase revenue in the retail sector.
Healthcare data is expected to experience a CAGR of 36 percent through 2025. This issues a dire need for medical professionals to use big data analytics.
The technology can offer valuable insights from clinical data. It helps make informed decisions regarding patient diagnosis, treatment, and disease prevention.
So, if you were thinking about how big data analytics helps businesses increase revenue in the healthcare sector, know that it has great potential. All you need to do is tap into the data’s potential with this technology. Rest, analytics will streamline processes to improve overall healthcare delivery.
Big data analytics in education is expected to reach $57.14 billion by 2030. It’s not surprising when you know it’s multiple benefits in this sector.
It enables educational businesses to integrate platforms and applications for improved efficiency and cost reduction. What’s more? The data insights you get can revolutionize the entire process of information analysis.
Some of the tasks’ educators simplify with big data analytics are:
- Identify areas for student support and success.
- Track student activities and career paths.
- Create unique programs for individual students.
- Predict future performance and analyze course syllabi.
- Assess and address dropout rates.
- Accurately analyze candidate profiles and application factors.
- Adjust learning strategies based on student feedback.
Global telecom analytics is on a staggering trajectory, set to hit a mind-blowing USD 8.7 billion by 2025. That’s not just spare change. It’s a testament to the lightning-fast progress of big data analytics in the telecom sector.
But exactly how big data analytics helps businesses increase revenue in the telecom industry?
Telecom companies are sitting on mountains of data gathered from every nook and cranny of their operations. Call detail records, mobile phone usage, server logs, network equipment, social networks, billing – you name it, they’ve got it. And it’s not just idle data; it’s a goldmine of insights waiting to be discovered.
With big data analytics, telecom companies can uncover valuable insights that help boost revenue generation. Here are a few data-driven activities performed by some telecom giants:
- Targeting campaigns for better reach
- Fine-tuning network performance
- Enhancing the customer journey
- Analyzing operations for efficiency
- Detecting fraudulent activities
- Transforming data into valuable assets
- Optimizing pricing strategies
- Maximizing customer lifetime value
Datasets are the fuel of the finance industry. Big data analytics ensure the efficiency of this fuel is maximized.
That’s why financial services are at the forefront of using big data.
Some of the key benefits of using data analytics for a finance business are:
- Fast stock predictions & returns using big data and machine learning.
- Accurate estimations and risk management to build precise financial models.
- Data analysis and tailored offerings for exceptional customer experience.
- Real-time data maintenance and operational integrity for fraud prevention.
Besides these five key industries, big data analytics impacts several other sectors. Want to explore its potential for your specific business domain? We’ve got your back!
You can call for consultation or avail our custom enterprise software development services directly. We can ensure integrated analytical solutions that aid business success.
Feel confident in your decision to choose us by exploring our case studies in the next section. These valuable resources offer glimpses into our expertise and capabilities.
Challenge: Enhancing the accuracy of their AI-enabled radio streaming app for a venture capital-backed startup.
Solution: Leveraging AI, machine learning, and data analytics expertise, Matellio fine-tuned the existing model and explored alternative approaches. Our experts developed effective audio classifiers by analyzing data associated with pitch, cadence, and keywords.
The outcome was remarkable, with Matellio increasing the advertisement detection success rate from 90% to 98%. This significant improvement accelerated the startup’s product development and attracted investor confidence.
The app successfully launched in app stores, amassing over 100K downloads. As a testament to their success, the startup is now publicly traded on Nasdaq. Matellio’s solution propelled the startup’s growth and enhanced its product quality.
Challenge: Optimize network management for a public trading firm delivering video distribution and streaming services for cable TV broadcast platforms.
Solution: Matellio developed a centralized web-based solution for Network Operating Center (NOC) monitoring.
They used an open-source tool, Prometheus, to secure data insights through customer environments and publish them via a dedicated virtual private cloud connection. This approach ensured authorized access, minimized software licensing costs, and enabled proactive monitoring to detect and alert operations staff of potential risks.
As a result, network outages were prevented, leading to cost savings in equipment repair, customer penalties, and reputation damage. Additionally, the client achieved more efficient network health monitoring, reducing the time for a health check from 60 minutes to just 2 minutes per customer.
Now you know how big data analytics help businesses increase revenue.
It leverages the customer-centric approach minimizing the chances of errors in your process. Additionally, data-driven implementations help you stay ahead of the competition. All of these efforts reduce resource wastage and aid revenue generation.
So, what are you waiting for? Discover the power of big data analytics to boost your profits. Contact experts now!
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