Businesses today have an incredible opportunity to use data analytics to improve their growth.
By analysing data, businesses can find trends and patterns that they would not otherwise be aware of.
This information can help businesses make better decisions about where to focus their efforts and how to allocate resources in order to achieve the most success.
But the challenge most businesses face is not how to collect the data, but rather how to structure data and analyse it all in the same way.
In this blog, we will discuss 5 ways that businesses can use data analytics to improve their growth!
From You Flower
Before we jump into it, let’s take a quick look at an instance where business analytics was used to boost business growth.
The owner of From You Flower, an eCommerce floral business, built an analytics team within the business, bringing in skilled people and handing them over 10 years of data he’d collected.
Before using data, the business was growing steadily around 10% each year.
Once analytics specialists were introduced, the business started growing by 30% each year; the change brought in higher profits, better customer satisfaction, more revenue and higher retention of customers.
Clearly using data analytics for your business can be extremely beneficial for sustainable growth.
That said, here are 5 way of using data analytics for your business:
1. Better Order Fulfilment
Sticking with the above example, there are a number of elements that will influence how successful a flower shop is.
Some elements that may indicate how effective the florist is include:
- The day in the week
- What time of the day
- What kind of products are available?
In other words, if you are able to keep your eye on the performance of your supplier and learn more about which suppliers would be able to provide the finest chance for an order to be completed based on your location, you will be in a better position to fill orders.
This increases the number of orders that can be filled.
2. Provide Customers With Maximum Value
You may use the data obtained from your consumers to determine which ones are most likely to return and provide you with more business.
It would be much easier to get the most out of your marketing expenditures if you were able to do so.
Understanding your clients and marketing directly to them allows you to develop strong and long-term connections with them. This would in turn:
- Increase the opportunities for repeat purchases
- Maximise the value to you
3. Improve Supplier Management
Keeping track of consumer complaints and refund requests allows you to evaluate suppliers who aren’t performing well, whether in terms of product quality or even a time standpoint, when demand isn’t met.
This allows your clients to get the highest quality goods on time. Those who are pleased with the product or service are more likely to return, so getting this aspect correct is extremely significant.
4. Bring Down Costs
Seasonal businesses, for example, those that operate only at particular times or days of the year, experience a higher level of demand than at other times.
Certain events, such as birthdays and marriages, as well as Valentine’s Day, may see increased business than other days.
A business of this sort must consider how it may use the data it collects in order to lower company expenses.
One approach to do so is to hire employees who can work on shifts. This way, you’ll be able to pick which employee you want to hire when and where things are busiest.
Switching the company’s big data focus to the business might assist you in lowering labour costs and, as a result, improving efficiency.
5. Better Advertising
The majority of the advertisements are A/B tested.
All pop-ups, product pictures, and landing pages should be evaluated to see how effective they are before you make any changes.
Using data analytics in this case would allow you to gain a better understanding of where products should be positioned on your website, in order to improve sales and engagement.
Data analytics can provide you with information on what works and what doesn’t when it comes to marketing and advertising, which is critical because these expenses might be high.
It’s a great idea to spend time studying the data you’ve gathered from all of your company’s various departments no matter what your goals are, be it business expansion or increase sales.
It’s remarkable how much knowledge you can obtain just by looking at your data repository!
To learn more, get in touch with us today.