The utilization of business intelligence and analytics distinguishes successful companies from struggling companies in modern-day business environments. The business world is undergoing transformation, and to compete effectively, proper use of business intelligence is mandatory.
This article should help your company make an informed decision about whether or not to pursue business intelligence services.
There has been a paradigm shift in the use of traditional advertising methods such as radio, TV, and print media, where advertisements are made without measuring the ROI. Consumers are no longer responding positively to ads that directly target them.
44% of companies use data and analytics to analyze their profitability, existing customer needs, and the likelihood of their customers to defect from their brand.
There are several benefits of using business intelligence in your company. You can either maintain and manage the data yourself or you can use the services of a business intelligence firm and enjoy the benefits as outlined in this article.
1. Optimize Your ROI
Proper utilization of BI (business intelligence) can earn or save your businesses a lot of money in the long run. Using BI tools, you can measure the effectiveness of the marketing strategies you apply in your company. Every single dollar you put into marketing your company will be accounted for and its returns maximized.
You can schedule an automated report for the marketing information to be updated on Google Spreadsheet or Excel. You will be able to compare the effectiveness of different marketing strategies in real-time and decide on the one(s) that is most effective.
2. Enhanced Organizational Efficiency
BI companies allow you to access data and give you a more holistic view of your business operations. Leaders in various departments can benchmark results in comparison to the larger organization. Better decision-making is promoted.
This makes it much easier to identify opportunities within the industry. Besides, business intelligence companies will help you with data analysis and the compilation of reports, allowing you more time to come up with new products and programs for your business.
3. Competitive Analysis
The ability to manage large amounts of data within a short period of time in itself puts your company on a competitive edge.
BI companies use certain tools and software to properly carry out organizational functions such as planning, budgeting, and forecasting, all functions of which when effectively done, puts a company ahead of the competition.
Business intelligence also makes it easy for a company to track its competitors’ sales and marketing performance. The business intelligence firm would also sensitize your company on how to better differentiate your products and services.
4. Identifying Market Trends
A BI firm would enable you to have a competitive edge by identifying new opportunities in the market. Once the opportunities have been identified, the BI firm will help you come up with the best strategy supported by data.
Business intelligence allows companies to compare external market data with internal market data to identify new trends in sales and marketing efforts. All these help the company achieve long-term profitability.
5. Efficient Reporting
BI companies promote fast and accurate reporting by allowing their employees to use templates and customized reports to monitor KPIs. Operations, financial, and sales data, among other data sources can be used.
The reports are produced using the most relevant data. This can be done in real-time. Another advantage is that the reports are presented in easy-to-read visualizations such as charts, graphs, and tables. Using BI technology, tools, and software such as Tableau, the information can be accessed relatively faster, and adjustments can be easily made promptly.
6. Improved Data Quality
Having data discrepancies and inaccuracies is bad news for any business. When the database is all jumbled up, it is not easy to have good quality data.
With quality and up-to-date data, a company is set to rank ahead of its competitors and become more successful in its operations.
A company can utilize BI tools and software to bring together different data sources. This allows you to have a clearer picture of your business’s operations and goals.
7. Increase in Revenue
The main reason why companies are in operation is to increase their revenue. The data produced by BI technology can assist your company to ask better business questions. You can also carry out analyses across various dimensions and identify points of weakness in your company.
A company that is keenly watching its data, listening to its clients, and constantly improving its operations is likely to experience an increase in its revenue.
8. Improved Customer Satisfaction
Inasmuch as BI technology mainly helps companies to learn about their employees, it also helps them to connect with their customers.
Business intelligence gives you insight into customer behavior and feedback. Using business intelligence tools, you can get to know what is amiss with your products or services. Once you have identified this, you can make the necessary adjustments.
Getting real-time data on feedback from your customers enables you to provide superb customer service early enough.
Many establishments have been hesitant to start utilizing BI due to a lack of knowledge in the area. Others have no idea where exactly to start, while others think it is too expensive.
Truth be told, business intelligence should be part and parcel of your company’s activities, especially in this time and era. IDC predicted that in 2020, the amount spent on cloud-based big data would grow 4.5 times.
Companies that have invested in the effective use of data have an advantage that their counterparts who do not use business intelligence cannot enjoy. Such companies make the most out of every opportunity that comes their way.
With the right information, businesses can liaise with BI firms in order to make a decision to move forward fast. These companies will first need to assess if they need a BI solution depending on the company’s business goals. Once this is done, proper planning needs to be done to make sure the BI seamlessly merges with the overall organizational plan.