Ashleigh Dickson, Business Development and Data Service Management at PBT Group
A growing reliance for data to produce advantages that can support businesses to leapfrog ahead of any competitors continues to shine a bright spotlight on the Business Intelligence (BI) industry – including any and all related technologies that support the careful nurturing and curating of data into a strategic asset.
In fact, research shows that the Global Business Intelligence Market was valued at USD 17.15 billion in 2016 and is projected to reach USD 147.19 billion by 2025 – growing at a CAGR of 26.98% from 2017 to 2025.
It is evident, through such growth, that BI is making an impact on how businesses plan and execute business objectives, strategies and goals. Traditionally, when looking at a BI strategy, most businesses allow the technology areas or functions within the business to provide the infrastructure or data that the business can then use to support their efforts in achieving desired results.
Today, as technology evolves and as data becomes more mainstream, a slightly different view is taking shape – and this is opening up the perfect opportunity for businesses in certain relevant industries to approach BI from a use-case based perspective – where the BI value is directly linked to the use cases the business is looking to promote.
Ensuring that the technology department of a business is being driven by what the business is looking to achieve allows BI to be applied on use-case based analytics. A critical aspect to consider in such an approach, however, is data governance, as well as ensuring that one version of the truth is maintained at least on the master data level. If a business for example, has started a new offering under their banner, it would make sense to utilise an existing customer data set for a current product/service offering and apply use-case based analytics on available data, with the aim of possibly upselling to existing customers.
Applying use-case based analytics means having an understanding around what key data points are needed, in order to ascertain what is relevant to certain customers within the database, to ensure effective upselling can take place.
And this approach is particularly relevant to industries such as the financial services sector – where many financial services providers offer more than one product that can be relevant across an existing customer database. For example, if a user is a home loan customer there is a case to be made through the data as to why they may also be a candidate for cross selling into another banking product, perhaps in this case insurance or investment.
This process not only opens up the opportunity to cross sell within a business but ensures that brand loyalty and customer retention become key KPIs of a business’s BI strategy and implementation framework. The process of use-case based analytics should, in this instance, be driving BI implementations going forward, as the value this structure offers can include cost effective and sustainable business growth – which are key market differentiators in tougher economic markets.
With data at the core of everything a business does, BI must be linked to a business’s specific and existing business use-cases. The value to be derived makes viable business sense. Therefore, a business positioning everything it does around data (and rightly so) must have dedicated stakeholders invested in the BI function. This will ensure that the BI of the business is delivering in line with what the business requirement is.