Let’s learn today about the importance of big data and why it is so much important to business? And before I explore why is big data important, let’s understand what big data is actually?
What is big data?
Meaningful and meaningless data automatically generated by e-commerce stores, search engine, social media, government, online and offline applications and websites to study human (user) intelligence, behaviors, habits and daily online life management process and operations in large scale is called big data. And the data that is collected offline through the survey’s on 1000000 people and saved it to excel spreadsheet also big data technically.
Now let’s learn in the example: – 50 people visited any website ABC in one month and 100000 people visited any other website ABC. Now it’s easy to understand, 50 people visited a website and their activities is just a data. But 3000000 people visited website XYZ is a big data.
Another example: according to internetlivestats.com and during the writing time of this post there are 3,780,200,900 active users on the internet worldwide, what is that? This is big data. Now let’s dig deep into the big data.
What is that inside the big data or small data?
Each type of data contains figures and facts that generate information to take better organizational, business, career and daily life decisions. Data is important to mine by leading companies and governments for innovation, to reduce risk, to implement new technologies, to change or add a new feature in the application and to create new policies.
Related: Importance of data in business
That’s why almost all companies and government agencies collect and store customers, citizens and user behaviors, shopping habits, income, sells, purchases, trading, region, age, search queries etc. all these are structured and unstructured material is big data or you can say group of activities, behaviors by 1000000 people on an applications is data.
Data is not only mean about computer and internet technologies. It’s also about such as out of 100 people only 25 people laughing at the joke. But why 75 people are not laughing? To research on this you need visualized data about these 100 people and this is we called data analysis.
Why is big data important to business?
Generally, all type of data is important to the business. Not matter its small data or big data. But a large amount of meaningful data help to research, analyze customers’ expectations and growth opportunities within and outside the business more effectively. While small data is effective for small-scale business to analyze scaling opportunities.
1. Big data help to develop Innovative and Creative ideas:
It’s important to develop creative ideas in the business to achieve goals. That’s why big data is important to find out what type of solutions customers are looking for.
It’s important because you can’t take off the 150 seater airplane to Tokyo Japan because one person wants to travel. For that, you can provide the different solution. But now business can use this information to conduct the survey or launch a testing service such as most expensive travel destination worldwide tours.
That’s how if more people asking for specific service or products then businesses utilize that data to create next-generation product and services.
2. Big Data Turn business vision and dreams into reality:
Big data analysis is powerful ways to find business ideas and product idea that is the best fit for the vision of the company. Big data helps to create more than 5 years business plans.
If you see companies with 10 years vision then it’s not only based on creativity but they have customers data, market research reports, experts views, trending data and the data about government subsidy, data about investors, data about the suitable country for production and data about consumer expectations.
And that’s why they invest billion dollars, thousands people workforce online and offline, great minds and brains on the development and innovation. And you can’t predict next 5 years only by the small amount of data analysis that’s why big data is important.
Related: Importance of data visualization
2. Big data analysis helps to attract more customers and increase business income:
Consistent growth in getting new customers will increase the business revenue and that is big reasons behind successful startups. But to attract new and retain old customers not an easy task for online business or e-commerce store. But big data analysis help to target new customers based on their interests, social media behaviors, and search engine habits.
For example, Google Adwords provide data about Google search engine queries in Google Keyword Planner that SEO experts call keywords. Now businesses can take advantages of online marketing through Google PPC and CPA ads.
And they can target specific keywords data to use on YouTube Video Ads, Google Display network and search network. And they can monitor websites visits, sales and they can stop/start whenever they like with flexibility and time.
Data analysis practice helps to take more data-driven actions and risk. It helps to create the new marketing strategy that increases productivity and services values.
At the end of this article, I think that if data is not collected, mined and analyzed by Google, Tesla, Facebook, Amazon, Alibaba and many big companies, I personally don’t think they can succeed and profitable.
That’s why they keep investing business units in big data to the development of new technologies and better world as the promised such as cloud computing, internet of things, driverless cars, artificial intelligence, BI tools and hybrid cars.
That’s why big data is very important for big companies and all kind of businesses. And small data is very important for a small-scale business to grow their business and traffic on the website.