Data visualizations and their impact on the growth of businesses
If you’re looking to be successful in today’s business it is essential to invest resources in gathering, analyzing data, as well as making decisions on the data.
In many companies, the process of interpreting data is an actual issue.
This is where data visualization typically comes into play.
“Data visualization” is a general term used to describe efforts to assist people to comprehend the significance of data by putting it in a visually appealing context. Trends, patterns, and correlations that may be missed in data that is written are easily identified and identified more easily using data visualization software.
An excellent illustration of a tool for data visualization (and one you’re likely pretty familiar with) is the business intelligence (BI) dashboard. It provides real-time information about an organization’s KPIs and metrics. (KPIs) and helps the top management to make educated business growth-related decisions.
If you’re so familiar and you’ve yet to invest into Big Data at your business it’s time to do so.
Seven ways that data visualizations can boost growth in your company:
- Quickly and easily take in information
- Make connections between operational and business operations
- Spot trends quickly
- Find out the cause of declines in business
- Learn intimate details about your customers
- Innovate before your competitors do
- Combine your personal data with public data
- Using Data Visualization to Immediately Observe Key Points
- The Importance of Making Data More Usable
Quickly and easily take in information
Fun fact: The human retina is able to relay information at around 10 million bits/second, which is at the same speed of the speed of an Ethernet connection. The problem is that most BI reports executives receive comprise static charts and tables. The static reports that are provided aren’t clear enough for those required to comprehend the information.
As per Aberdeeen Group, managers who employ data visualization tend to be 28 percent more likely discover relevant information than those who make use of controlled dashboards and reporting tools.
They also found the fact that 48 per cent of users who use data visualization software are able to locate the information they require without assistance from technical support.
Data visualizations empower important stakeholders with the capability to connect dots across multi-dimensional datasets. Examples include: temperature maps as well as fever charts, among other rich graphic representations.
Make connections between operational and business operations
Data visualization is a means to identify patterns and relationships between operational and business processes.
One method is to make it simpler to determine how your activities impact the overall performance of your business and allowing you to determine the operational factor that caused that change(s) in your business’s performance. Maybe you’d like to assess your business’s current performance to its past performance to help predict how it will perform in the near future,, such like monthly sales, or other KPIs.
In the event that you are able to discern past trends in comparison to the current trends you see within your information, you are able to look deeper to determine the factors that contributed to your growth or decrease in the business, which allows you to replicate what was successful or modify the things that did not.
Spot trends quickly
One of the most appealing benefits of data visualization is the way it helps me identify the latest customer behaviors and trends in the marketplace very quickly.
Data Informed provides an excellent illustration from their website:
Managers of supermarket chains can make use of data visualization to understand that customers are not just purchasing more products from their stores as macroeconomic situations improves, but that they are also more interested in buying ready-to-eat food items.
A deeper look at customer feedback and other data uncovers a new opportunity for the company introduce a catering service for customers who entertain more often and spending more on different categories of food and drinks. These insights allow the company to capitalize on this business opportunity before of its competitors.
Find out the cause of declines in business
Data visualizations let you directly interact with data, and bring information you can instantly take action on.
For instance an automated report or Excel spreadsheet could inform the head of an automotive firm that sales of its cars are lower in a specific month.
But it will not tell the customer why sales of cars are declining. With real-time data visualization, executives can see the most recent sales figures as well as determine which sedan models have been performing poorly and the cause of the drop in sales is the discount that competitors offer.
In this scenario the executive is able to think of a solution and come up with a solution for his company, in real time.
Learn intimate details about your customers
Data visualizations offer you the complete picture of your customers. They let you gain an abundance of information, and you need to be very cautious when using it.
For instance, Target was sued for privacy violations after the company began targeting a child with ads based on pregnancy following recent purchases she’d made. In essence, they knew, before her father did that she was expecting.
These tools allow you to connect data from mobile, social media web, as well as various other Big Data analytics sources, making it possible to track the customer’s preferences as well as what she’s interested in and when she wants it, all in real-time.
Customers aren’t always averse to the fact that you’ve learned more about them. They actually appreciate it when businesses like Amazon offer recommendations for products based on information it collects.
According to the blog of Data Informed the algorithm of Amazon gives every customer a unique webpage, and it resulted in Amazon with an increase of 27 percent of sales, reaching $13.18 billion in its third fiscal quarter of 2012, an increase from $9.6 billion in the previous period in 2011.
Innovate before your competitors do
In the past, large companies held consumer panels which let them know what the opinions of consumers regarding the product’s ideas and what they believed they would like in terms of features for the products and services.
Data visualizations today allow teams to make product and business decisions quicker by using massive amounts of information in brief amount of time without having to talk to customers face-to-face or in a 1-on-1.
It doesn’t mean that there’s not benefit to talking to customers. There is. Receiving feedback from customers in a qualitative way is a crucial element of improving products as well as growing a company. But the capability to gather and analyze the quantitative information to keep a head start on competitors is now more crucial than ever before in the business world. Data visualizations make the process of interpretation much easier, and make product or business development in general is a lot more efficient.
Combine your personal data with public data
The best thing about Data visualization software is the fact that it permits its users to study the complex data that comes from different sources with ease.
Why not merge your data from your business with data that is public? This is exactly the idea behind Size Up was thinking. This tool can do exactly that, allowing users to assess how you’re doing against the other competitors in your region.
Here are some of the advantages of combining different data sets:
Review product reviews on the internet, which feed to your development or support processes.
It is possible to monitor the pricing of competitors and ensure your price is in line with the competition.
It will show businesses the best way to promote their product first , or the best place to put the product
Using Data Visualization to Immediately Observe Key Points
Data visualization is not something that happens in isolation. It is therefore essential to understand the context in which you’re communicating. In planning your communication be sure that it meets these important requirements:
High-Performance. Could it be precise in relation to the proper assessment of quantitative accuracy?
Multipliability. Can the design be adapted to meet a variety of desires?
Aesthetically Pleasing. The visualization of data should not irritate the senses of the user A good illustration of this is moire pattern.
Effective. Is your visualization easy to understand? Can the user “get it” with ease?
In effect. You need to ensure that you display the data; consider of whether you’ll need to improve or reduce the data-ink proportions; further take into consideration brase non-dataink and brass-based data-inks that are repetitive.
The Importance of Making Data More Usable
In recent times various strategies have been suggested to study the effects of data’s effectiveness. In a study by researchers at the University of Texas, researchers discovered that if a business improved the accessibility of data to the user by just 10%, it could significantly increase revenues and generate new jobs. Researchers looked at accessibility and mobility, as well as quality and usability in order to come up with these conclusions. In the end, improving your company’s data accessibility will benefit your the business and shouldn’t be neglected.
What other things do you wish visualization of data could do?
Click Here To Know More