Data is now more important to businesses than ever. With cut-throat competition in every niche, sound business decisions taken with the help of structured data are the need of the hour. In fact, the situation is such that many companies cannot take decisions only based on observations, data is what is required for making the right decisions. This data can be from anywhere- internally-generated data, website scraped data through web scraping services, third-party data, etc.
Why do we need to make data-based decisions?
From time to time, companies have to take various risks to attain business objectives. They cannot just take blind decisions that lack foresight. For this, they need to have insightful data that can be leveraged to make informed business decisions. This could be for exploring new business opportunities, growing sales, serving customers better, making internal operations more efficient and so on.
Sometimes, businesses make decisions based on observations and gut feelings, but the majority of the decisions taken are by careful analysis of customer behavior, sales numbers, competitors’ business, general business environment and so on. Data helps companies allocate resources, estimate additional resources that may be needed and also help forecast future business trends.
Advantages of taking data-based decisions
Ensures better transparency and accountability
With the help of data, it becomes easy to measure employee performance. Each employees’ performance can be measured in real-time when tasked with sales or manufacturing numbers. Based on these numbers, the employees do what is necessary to fulfill the targets/benchmarks that they have to achieve. This increases employee productivity and accountability.
Ensures continued improvement
When businesses implement real-time business metrics tracking, it helps the management make continuous improvements to the services/products of the company. As these decisions are based on real-time data, the management can safely take decisions that will help improve the business’s daily operations.
Provides feedback for market research
With the help of data, businesses can know how well their decisions impact their customers, employees, resources, or other stakeholders. Based on this feedback, the management can improve processes and services to match the requirements of the respective stakeholders.
Helps create a first-mover advantage
With the help of business-ready data, it becomes easier for businesses to respond to market changes faster. Well-structured data can help identify new business opportunities, understand customer behavior and predict future trends, helping the business to take advantage of this before their competitors do.
How data can help enhance business decisions
Without data, no business decision can be taken. It is as simple as that. Whether you are a small business or an MNC, you will need to make data-driven business decisions. Many gaps in the market need to be filled, data analytics or website scraped data helps to understand these gaps better. Whatever your business goals are, data helps to-
Find new customers
Generally, businesses use the power of SEO, social media and online advertisements to follow up with customers who have shown some interest in the business. Though this is effective, the next stage of getting to the right target audience is through next-gen technologies like big data analytics, e-commerce web scraping and artificial intelligence.
Improve customer service
Your customers may have certain complaints about the product, some may have left reviews of the same, others may find these complaints enough to consider switching loyalties the next time they buy. With the help of data analytics, you can identify what your customers’ pain points are for your product and how you can help solve them.
Retain existing customers
Retaining customers isn’t only about solving pain points. What matters is how well you entice the customers for them to consider a repeat purchase. This could be giving them an extra benefit or a discount on certain conditions. For example, telecom operators routinely customize their prepaid plans based on customer usage. They get this done by using highly sophisticated data algorithms that work independently in their systems. This trend is slowly being adopted by other service industries, from broadband internet service providers, mobile app users, eCommerce companies and so on.
Predict sales trends
An increase or decrease in sales depends on many factors- some can be controlled while others cannot. Those factors that can be controlled include- competitors’ issues, general economic conditions, industry changes, climatic changes, political conditions and so on. For example, if an intense storm is predicted in a particular area, those producing backup electricity generators can increase production and be ready to sell their wares after the storm has passed, as the electricity supply grid generally trips due to the weather.
High-quality data, whether from eCommerce website scraping or data analytics, is needed for making strategic business decisions. Many small businesses still take independent business decisions based on observations and the current business environment. However, this cannot be sustainable. If properly informed business decisions aren’t taken, it could result in massive losses. Therefore, it is always better to consult experts in helping you make business decisions. For example, SmartsScrapers helps you get structured data by website scraping to help you understand how your competition is doing.