With the advent and use of digital systems commerce based business models have dramatically morphed over the past fifty years. As a direct result of growth in technological and computing power workplace reliance on digital data and analytics has increased. The majority of growth in businesses over the past twenty years has coincided with the use of a new technology to aid in business processes. Big data, business intelligence and real-time analytics are directly assisting business’ decision-making abilities and are leading to a permanent change in the competitive landscape. Jobs are not being lost to this new tech revolution, but they are being shifted around. To compete in this new environment management can no longer let workers get by without the proper use of big data and/or analytics.
Technology is intertwined with business. Hence, businesses cannot succeed in today’s marketplace without embracing this new technology and changing their general processes. This is especially true when it comes to the day-to-day actions of digital marketing.
As technology becomes intertwined into the daily fabric of consumers lives companies are increasingly relying more on big data and the benefits it provides.
Fifty years ago big data was a non-existent part of the work environment. Data storage space was at a premium and it was even too expensive for most companies to store ten megabytes of data. Fast-forward fifty years into today’s world and computer technology is exponentially stronger. Personal computers can hold more than a terabyte of memory and today’s smartphones are more powerful than the computer (which sent astronauts to the moon in 1969).
Today’s business computers are able to capture large amounts of stimuli from our environment and store it in vast data warehouses. This allows companies to capture all aspects of the business process and drill down into various tasks in an effort to make them more automated and smarter. The goal is not to leave items to chance and to try and take out any unnecessary variability that reduces risk and costs.
Big data’s growth in the marketing industry has been driven by a need to understand what goes into making a decision. The ultimate goal of marketing is to insert themselves into the decision-making process and alter the buyers’ behavior in a positive fashion. Usage of the concepts of big data companies are able to harvest information about clients like never before. Traffic patterns can be seen from the movement of a smartphone. Diseases can be predicted more accurately based on an algorithm of Google searches. Consumers’ growing digital footprint allows companies to track individual behavior through the electronic trail that they leave behind. This allows businesses to develop marketing plans, not at the sub-sector, niche or local level but at the individual level. This is especially important because the old, shotgun approach of marketing is no longer working. Companies need to hone in on target consumers and deliver them a unique value proposition that recognizes and embraces their individuality.
Big data creates the opportunity to position advertising that is meaningful to the consumer on their terms. Consequently, the rise of consumer tech devices has given marketers a great opportunity and challenge. Collecting data is no longer enough nor is constituting as a strategy. Marketers have to be able to understand the data, and interpret it correctly, in order to implement campaigns that are relevant to the targeted customer base. Therefore, business intelligence is a vital field to the category of marketing.
After the great recession, this topic has become more and more relevant. Budgets have changed and so has the consumer buying process. Consequently, marketers face a bigger challenge with their limited resources. They are forced to rely on analytics and data to make relevant campaigns to the consumer on a variety of different platforms. These challenges also offer opportunity to the marketers that can utilize creativity and data in designing their marketing mixes.