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“Do you take anything to be happy? Yes, decisions.”
This popular saying gives us the key to understanding not only life but also the usefulness of data analysis for both SMEs and any B2B business. The key to surviving and growing as a b to c database business in this new world. In which customers generate more and more information is, precisely. Analyzing your data to be able to make the appropriate decisions.
The usefulness of data analysis
With data analysis for decision making. You can increase the profitability of your business and, more importantly, avoid making bad decisions. Because data analysis (and all the disciplines that have emerged from this data boom. Such as Big Data, Data Science or Data Analytics) facilitates the understanding 3 advantages that business intelligence will provide to your company of large realities and, therefore, helps to make the best decisions for your business. Those that, before being applied, are already known to have a high rate of effectiveness because they are based on empirical and almost 100% certain predictions.
This is why data analysis is becoming an essential factor for many companies and, fundamentally.For many of their managers who, now, in addition to training, knowledge and a little intuition, have another tool on which to base their decisions, some of which can affect thousands of people or be equivalent to a few billion euros or dollars.
The analysis of its clients’ data
The issue is not trivial. Let us take the example of a bank, where any structural decision affects millions of people and means gains or losses in economic terms. Thanks to , it is possible to predict, for example, which of those who have a mortgage will stop paying their monthly payments in the next six months. This information, in itself, does not have great value beyond the warning, but, on the other hand, it will help the bank to take proactive actions to offer these clients different alternatives to avoid defaulting on their payments.
This would be a basic example of the possibilities of Data Analytics . But let’s go further. If we know all the movements that our clients make with their credit card, in which establishments they buy and at virgin islands send what time, and what expenses they usually face when paying without cash, why not reach agreements and alliances with third parties to offer discounts or advantages every time the card is used in that purchase?
The same could be applied to the insurance sector, which has recently focused more on B2B (mainly agents and brokers) than on B2C (end customers). The analysis of the data of their clients and their potential public can facilitate decisions as vital as the price of a service but also, and this is happening more and more frequently, what type of policy or new product their clients need and the company is not offering it to them.