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3 Ways to Use Big Data To Help Your Customers

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The value of data only exists if you know how to analyze it and use it properly. Data can be used for diagnostics, customer segmentation, trend spotting and many other uses. Big Data however can really change the way businesses interact with their customers, because it opens up the possibility for a personal approach.

Why is the personal approach important? Because people are starting to expect it. When you interact with customers on an individual level they are not expecting communication that could have been sent to anyone. As a matter of fact many people are annoyed by it. A little hint: consumer annoyance does not lay a solid foundation for a long lasting relation.

Back in the old days when store owners knew who you were and what your preferences were relationships were much more personal. Big corporations and chains that focused on mass marketing and segmentation changed that approach. The rise of Big Data however is part of a larger trend where customization and personalization are returning. We have listed 3 ways how you can use Big Data to personalize the interaction with your customers.

Predictive modeling

Big Data can be used nowadays to service consumers by using the data of their behavior to present them with a solution for their problems when they need it. Advanced Big Data will help you predict when your customers are facing a problem they need a solution for. A lot of this information can be gathered from the data you already collect. Amazon does a great job of telling a consumer who is about to purchase book X that “you might also like book Y” since the data has shown that people who bought book X were also interested in book Y. It opens up a potential additional sale that comes off as personal advice. In order to really take real-time advantage of  Big Data you will need to hire quantitative analysts to create algorithms in order to automate much of the process to save time and analyze big sets of data in split seconds. Math is quickly becoming a big part of the marketing equation and time will be the deciding factor is you want to apply location based marketing. Take a cue from Wall Street and the high frequency trading development. When it comes to real-time online and mobile ad buying time is starting to be very valuable.

Improved customer service

By analyzing various sets of data and allowing your employees to use this data customer service experience can be much improved. It gives customer service employees access to more data at a quicker rate and allows them assess the situation much quicker. With the amount of channels that customers have at their disposal to contact a company it is important to combine this information to disperse the right information. Combine the data of all channels to assess customer satisfaction, label feedback and cut down on response time. Data can also help your customers by analyzing the behavior and usage of your product. Let’s say that one of your customers is on a mobile plan of 1GB per month and the data shows that the customer is starting to use more data each month, you could service this customer by letting him know he is about to exceed his data plan and that he might want to opt for an extended plan, one that fits the usage of other customers who have experienced similar usage patterns.

Let customers use their data

Businesses are not the only ones who are very interested in data. Consumers love using their own data when they see an advantageous use. Whether they want to show other people where they are, know how many calories they are eating or what they are spending their money on. If you make it beneficial for consumers to share their data with you they will be much more willing to do so. Giving people the ability to use their data on your site or via an app also opens up possibility for further engagement, selling and cross-selling opportunities and brand building. Nike’s fitness band is a great example of how customer data can be used by customers and businesses alike. Even though Nike will most likely discontinue the product due to smartphone and other smartwear products, the underlying principle was a win-win situation. These are three Big Data examples that allow your business to help your customers in ways that are beneficial to both parties.

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