In a world where big brands make accurate, data-driven decisions, around 70% of small and medium-sized businesses (SMEs) still struggle to adopt data analytics into their daily operations.
In an effort to cut down costs, most SMEs continue to use spreadsheets and primordial databases to keep track of their activity.
However, considering the level of advanced data analytics and the immense benefits they forgo in doing so, it’s like living under a giant boulder for the past few decades. Plus, anyone who continues to use outdated technology doesn’t stand a chance in front of the competition!
Investing in Data Science and the associated tools is by far one of the most important steps for entrepreneurs nowadays. Every successful entrepreneur or unicorn managed to reach the top because their work was based on actual data (regardless of the industry in which they activate).
So, if you want to start your road as an entrepreneur, here are the steps you need to take in order to integrate Data Science into your business:
Outsource the Task
Big companies have their own Data Science department, but most entrepreneurs don’t have that kind of budget. Still, due to data science consulting businesses, like RTS Labs, you don’t have to pour all your funds into research.
By outsourcing the Data Science and analysis task you have access to competent reports and receive valuable insight from the market. Plus, you’ll be connected with specialists in Data Science and research while the costs will remain affordable.
Focus on the Data
Having access to the data is one thing, and actually using it in your decision-making process is an entirely different thing. Here are a few tips that will help you get more data-centric in your business:
We are finally at a level where we can truly understand what our customers want! We no longer have to use our gut instinct and experience-driven intuition to identify what an ideal customer might want.
Due to data-driven marketing decisions, campaigns focus more on real-world customers instead of guesswork.
The right dataset can tell you what makes customers buy, where they like shopping, why they’ll switch brands, and more. All you have to do is incorporate these data into your marketing strategy and you’re set!
Stay Up To Date
Nowadays, trends come and go before you can get a hold of yourself. Still, a business that uses predictive analytics methods will learn about future trends before they start manifesting in the market. This gives you time to prepare, so you’ll be on top of the trend wave.
You even have apps like Google Trends to let you know how trends work and what triggers them.
Understand the Competition
Your competitors (especially the successful ones) can serve as inspiration and guidance. Furthermore, nowadays it’s incredibly easy to learn about their strategies and activities online (using good old detective work and advanced data analytics).
One way to learn about your competitors’ communication strategies is to follow them on social media. Analyze their content and the audience’s reaction to it. Learn what gets people engaged and pay attention to comments and how the business responds.
Of course, the same is true for your competitors – they can peek at your activity and strategies anytime they want. It’s a give-and-take relationship.
The syntagm “work smart, not hard” was never more true than in the era of Big Data and advanced Data Science algorithms. Besides the obvious benefits of research that provide accurate insight into the market, there are other benefits that make life easier for companies.
One such benefit is represented by intelligent chatbots based on Data Science with a focus on Artificial Intelligence and Machine Learning. These algorithms use existent data to understand customers’ behavior and preference and natural language processing algorithms to have human-friendly conversations.
Nowadays, chatbots can be used on websites, internet banking apps, and any other online system. They provide initial greetings, basic information and guidelines, and can even perform routine operations without needing any human assistance.
As a result, companies save money while also improving their customer experience.
Big Data and Data Science only seem out of reach for entrepreneurs and SMEs, but they are not. In fact, nowadays, you can’t afford not to use these technologies!
So, before you think about a new business, make sure to learn about the technologies that can help you reach the top.