How Big Data helps to make the most out of customer data?

Now the hot topic discussed in the communities of Big Data, business analytics and marketing experts is to find ways to help organizations put to use all that consumer data they’ve been collecting. The entire world talks about the importance of big data. Almost every organization, although they collect and preserve customer data, do not make the most out of that data. In fact, they don’t know how to put those customer data into good use.

So how can businesses leverage the maximum potential all that customer data they’ve collected? Let us examine effective ways to make the most out of that big data.

Personalize the user experience

With the help of customer data, it is possible to create a more personalized, pleasurable user experience to that particular experience. “According to an Infosys study, 70 percent of Americans are willing to spend an average of 13 percent more with companies they feel provide superior service,” says Scot DeLancey, director, Department and Specialty Retail Solution Management, NCR.

By making the most out of customer and consumer data to personalize their user platform, retailers can “make personalized recommendations, inform them of of special offers and promotions that are most relevant to them and fully maximize cross-sell and up-sell opportunities to realize increased revenues.”

A video game retailer, for instance, has experienced that “data from loyalty programs offer the best insight on each customer’s interests, past purchases and engagement preferences,” says Rob Lloyd, CFO of popular video game retailing company. “This data can be used to create a personalized user experience down to the individual and even offer service or product recommendations.”

“Companies with brick and mortar stores can use customer data to improve their customer’s in-store experience,” adds Greg Petro, CEO of First Insight.

“For example, using customer location data and heat maps, companies can better understand and improve traffic flows and recognize where there may be opportunity to optimize a store’s layout or adjust merchandizing displays,” says Chris Wareham (Product Management - Director, Adobe Analytics) “This technique can even be used at other types of locations, such as stadiums, airports, museums and more.” “Also, customer data can identify differences in preference by region, enabling stores in each region to feature the right products in store windows and in key locations within the store,” says Petro.

Promotions and Special Offers based on Customer data

Businesses can make use of customer data to customize promotions and special offers to those potential customers. “Successfully analyzing and acting on customer, market and competitive data can help companies provide their customers with customized offers, appropriate marketing and ad campaigns, the right deals, or even when to back off,” says Chris Selland (Vice President, business development, big data, HP). “The most loyal customers are also the most profitable, and by analyzing and acting effectively, organizations can ensure long-term customer loyalty and significantly enhance their profitability.”