The concept of big data isn’t totally new or recently popularized, it has been around for decades even before people ever realized its importance.
Big data is what companies leverage to create targeted marketing campaigns, send automated messages, uncover hidden patterns, observe customers’ behaviors and ultimately make proper business decisions.
Take big data out of the equation for large companies, for instance, and what they have is an ineffective, time-consuming system that drastically floods down the multi-million dollar business they’ve built for years.
However, some organizations still find it hard to commit to big data or even understand what value it brings to their table.
It’s common for those types of businesses to start looking for their competitor’s real-life examples before they commit to big data initiatives. Sometimes they order off-the-shelf developments from custom software development companies.
To help those interested in using big data adoption with their research and analysis, Hanna Schnaider put together useful statistics and real-life examples of big data to simplify the process.
Let’s kick in!
Big Data Statistics Based On Company Sizes
- Very large companies – companies with over 5000 employees – are found to be the biggest users of big data with around 70% of such companies claiming they’re already using big data. These companies basically leverage big data for their data warehouse optimization.
- Small, mid-sized, and large companies – with employees less than 5000 – also adopters of big data with usage ranging from 43-45%. The top 3 big data use cases for these companies are data warehouse optimization, customer analytics, and predictive maintenance.
Industry-based Statistics
Telecommunication
The telecommunication industry is found to be leading adopters of big data with 87% already making substantial benefits and profits and 13% hoping to use big data in the future.
It’s equally popular in the telecommunication industry to see companies use big data for network optimization (85%), customer acquisition (93%), and customer retention (81%).
They additionally plan to leverage big data in the future for revenue assurance, location-based device analysis, and for optimizing prices, networks, and call centers.
Financial Service
Studies show that around 76% of financial services institutions currently use big data for customer analytics, fraud detection, security threat detection, and risk assessment.
Back in 2017, financial services were rigorously investing in predictive analysis, but in 2018 their priorities shifted to AI and machine learning.
Healthcare
60% of healthcare organizations are great adopters of big data and almost every remains of such organizations plan to use big data in the future.
It’s increasingly popular in the healthcare industry to find companies using big data for personalized treatment, practice management and optimization, and patient admissions prediction.
Using big data for the healthcare industry will generally help reduce the cost of treatments, predict and provide solutions quickly to the outbreaks of epidemics, eliminate avoidable diseases at their early stage, and provide evidence-based medicine based on research.
Education
The education organizations are by far the lowest adopters of big data with only a minuscule 25% currently leveraging this technology.
However, 67% of these organizations plan to use big data in the future.
With the growing amount of data relating to students, course, faculty, results, and others, it’s important to understand that the analysis of these data can provide additional insights which could help to improve the efficiency and operational effectiveness of educational institutions.
Insurance
Most insurance companies are adopters of big data using it for their pricing, risk selection and underwriting, management decisions, claim management, and loss control.
Real-life Examples Of Companies Who Use Big Data
Coca-Cola: Customer Acquisition
Customer acquisition is the only frame any company stands on.
Without a solid customer base, there isn’t any success and the company can never assume existence or ensures continuity.
Proper customer acquisition techniques with big data can greatly impact the overall development of a business.
Using big data for customer acquisition enable businesses to observe customer-related patterns, knowing the current likeness and behavior of the customers, and leveraging on them to trigger loyalty.
Coca-Cola leverages big data to increase their customer retention and generate more profit.
Back in 2015, they set up a digital-led loyalty program to strengthen their data strategy.
In an interview with ADMA managing editor, Alicia Tan, Coca-Cola director of data strategy and precision marketing, Justin De Gaaf, revealed that big data is strongly the pillar behind the customer retention success at Coca-Cola.
Netflix: Targeted Adverts
If any business is ever going to be successful with adverts, then making sure it’s immediately resonating with what’s in the mind of the customers – their expectation – is a complete no-brainer.
Some big companies have thrown their hard-earn money into fruitless marketing campaigns basically because they skipped the research phase.
Luckily, with big data marketers can now make more sophisticated analyses by observing online activities, monitoring customers’ behavior, and detecting the trends.
This tactics is what Netflix leverages on more than 100 million of their subscribers, asking for suggestions on the next movie they love to watch and capturing these data to deliver effective and targeted marketing campaigns.
PepsiCo: Supply Chain Efficiency
With a modern approach based on data, suppliers can leverage higher levels of contextual intelligence which is greatly helpful for supply chain success.
This supply chain system based on data also allows for more complex networks. PepsiCo, a consumer packaged goods company, leverages big data to create efficient supply chain management.
By collecting reports including the warehouse inventory and POS inventory, the company reconciles and forecasts the shipment and production needs, ensuring the retailers get the right products at the right time.
What Others Have To Say
“Walmart relies on big data to get a real-time view of the workflow in the pharmacy, distribution, centers and throughout our stores and ecommerce.” – Walmart Staff
“Artificial intelligence, big data, and machine learning are helping us reduce risk and fraud, upgrade service, improve underwriting and enhance marketing across the firm.” – Jamie Dimon, Chairman and Chief Executive Officer at JPMorgan Chase
“The projects we’re undertaking using big data aren’t one-off experiments. They’re truly driving business decisions in finance, human resources, sales, and our supply chain.” – Shan Collins, Chief Analytics Officer at Nestle USA
Conclusion
From the above statistics and real-life examples, we can conclude that big data has a lot of potential effects on the success of businesses across various industries. So over to you, are you going to use big data today?