We hear about analytics all the time, but what exactly is data analytics? What’s it’s function? How can it help me be one of the best marketers in my field? Those are some of the questions that circulate when talking about analytics. It’s pretty simple though; analytics is the use of data to better understand your customers or business better.
So how is this different than Big Data or marketing research? It’s better!
Big Data requires a lot of maintenance.
You would have to create a technology infrastructure that is big enough to store all the data and even clean and convert data. This can be an unstructured or disorganized process. Big Data is not very useful for the questions your business may be asking. In fact, you could compare Big Data to a mine. Miners work for forever trying to sift through all the dirt, rocks and rubble until they find their gold. It’s messy, tiring and takes a really long time to finally find the gold they are looking for. Big Data is the same way. It’s unorganized and could take your company forever to sift through all the useless information to finally find answers to your questions.
Dollar signs and more time the essence of marketing research
Companies will use surveys and focus group discussions in pursuit for answers that will help better their business. There’s always a catch to marketing research and that would be all the resources that are needed and the costs that will be required. These two things can be so intense that your business will only preform surveys or focus groups once a year. And then there’s the sampling size. 2,000 is considered to be a large sampling size. If you read that and think it’s a lot then your mind is about to be blown…
Be one of the best marketers with data analytics
Digital data opens up your frontier to even more data that you’re able to rein in. Where in traditional marketing research you may find yourself with a sampling size of 2,000, you’re talking 200,000 with digital data. At what cost? Less! Data analytics is far cheaper than traditional marketing research, which means your company can conduct data analysis multiple times a year for a better understanding of your consumer. You’re not needing to have a face-to-face conversation with your consumer. All you have to do is sit back and watch how your consumer behaves and instantly know your answers. In surveys or focus groups, people can feel under pressure or may be tempted to just “go along” with what everyone else is saying. Whereas through data analytics you get a honest insight on what your consumer thinks.
Why would you sift through Big Data or take the time and the money to hand out a survey when you could implement data analytics? Be one of the best marketers and train up your employees on data analytics! It’s much more affordable for a bigger sampling size and quick, honest answers.