With the advent of AI and machine learning, there are entirely new ways to explore and interpret your data. Suddenly, a whole new method of business strategy is open to you, and on top of that, it’s one that too few companies are prepared to exploit. So, what are data-driven insights? Well, by analysing the data you have compiled, you can more accurately target your business in a direction that will best benefit you and your customers or clients. Data can expose intricacies and patterns you might never have noticed otherwise; but what are some real, substantive examples of how data insights have enriched strategies? Let’s find out.
One of the most exciting prospects for AI is the field of medicine. We’ve already seen it lead to more accurate detection of cancers and the prediction of what medicine combinations might best combat COVID. But as well as this, data driven insights can better help us advance the medical field with accuracy and efficiency. With the application of data, we can better handle outbreaks of respiratory infections through precision management.
As well as this, it is likely to have a significant impact on the field of radiology, where radiologists are expected to interpret one image every three to four seconds. Through various methods, incorporating data-driven insights can help to reduce the workload of doctors and nurses both in the short- and long-term.
Data is of course central to the business models of many of the world’s largest tech firms. You are likely well aware of how data is used to customise the user’s experience on social media and entertainment services. This algorithm is not a data-driven insight however, because it simply automates services already available on these platforms. Instead, companies such as Netflix will view which programs their users interact with the most and use that data to decide the kinds of content they will green light next. By doing so, they can keep much more closely in touch with the desires of their user base.
Insights can also inform how these companies optimise their existing algorithms. By observing the areas where the algorithm flags behind and where it best succeeds, the company can then readjust it. This is how large social media sites stay competitive with each other - by continuously updating their algorithm they can keep users on their platforms for longer and longer. Indeed, without incorporating the insights provided to them by their data, the algorithms used throughout the tech sector would be significantly simpler and less effective.
It is a big mistake to assume that data is only useful to cutting edge industries, however. While they have been at the forefront of incorporating it into their business models, data-driven insights are integral to optimising the business strategies of all industries. All companies gather data by virtue of simply going about their business. By using this data productively, they can better serve their customers and even identify unforeseen business opportunities. It’s not as simple as just looking at the vast sums of data you’ve gathered so far, though. Using data strategically is about knowing what data is relevant and incorporating it into an informed business strategy.
This can be difficult and require investing in infrastructure you may be unfamiliar with. The results, however, are more than worth it, especially as data become more and more ubiquitous. With 2.5 quintillion data bytes created daily in 2020, the best time to start incorporating these vast sums of data into your business strategy is now. Furthermore, by doing so sooner you can undercut competition that slower to adopt new strategies.
Data-driven insights can optimise business strategies and practices to an unprecedented extent. Since they’re not just limited to cutting-edge industries, it’s better to adopt them sooner rather later, to stay ahead in the market.