Before we begin drilling down into the specifics, let’s just clarify one thing: there is no single industry that is leading the way when it comes to data maturity, as we’re only at the beginning of this data centric age. But there are early adopters of technologies such as the Internet of Things (IoT), smart devices and location based apps who have been able to implement a business model that operates to a high level of maturity.
89% of these pioneers consider themselves to be data-driven decision makers, with 93% believing their data strategy gives them the autonomy to innovate business processes because of their improved data analysis.
But what does this data maturity look like and why is it so crucial that businesses aspire to reach this status?
1. More Responsive
Businesses that put data analysis at the core of their operations are able to react quicker to internal and external factors that could see them capture more market share and improve their processes. 90% of those who have a mature data strategy state the timeframe in which they can answer important questions is of a more acceptable nature to action changes, unlike the 60% of businesses with an amateur approach to using data.
2. Better Customer Service
Using new technologies effectively and conducting regular database cleanses can lead to improved customer service. Email database segmentation enables you to personalise emails based upon specific criteria and communicate the right deals, offers, services etc that appeal to them and their market. But it’s not just technology we can utilise - we’re not in the robot era just yet. Investing in the right talent to convert hard, raw data into tangible business decisions can see you achieving a more accurate representation of what the data means and reflect this in your marketing communications.
3. Faster Time to Market
Digital collaboration between your people, systems and devices is crucial in being able to release a new product or service into the market at the right time and with the right execution. This means employees should be able to access data anywhere at any time to allow for smart, reactive business decisions and an operational infrastructure that doesn’t cause disruption to the rest of your organisation.
Howard Schultz, Starbucks CEO, once said “I’d rather be first than perfect” in regards to new products or services, reinforcing the importance of being first to market. It’s the use of real-time analytics that is helping companies achieve this flexibility, for example, using social media to gain consumer insight as it happens into what their current pain points are or what they expect off a brand.
4. A Focus on Innovation for Growth
Data comes in so many forms. The best time of day for email open rates, the types of content that resonate the most, how long it takes to convert a lead into a sale; gaining this deep level of understanding around all facets of your business gives you scope to innovate and drive growth. Continuous improvement should be ingrained into your data strategy, as 30% of the mature companies we’ve discussed will be seeking improvements over the next 5 years, compared to just 9% of the less advanced companies. Noticing patterns in data gives you the somewhat superpower ability to spot trends before they happen and to be seen as an innovator in your market.
5. Problem Solving
There’s no such thing as a perfect company, despite the level of maturity your data strategy is at. The simple acknowledgement of this home truth is one of the best things you can do, as once your eyes are open to the weaknesses in your business, you can address them. Out-of-date systems are fast being kicked to the curb by data mature companies as they just don’t fulfill the needs of the modern business. Our world is now connected - with what feels like endless platforms to extract data from - and slow incumbent systems provide a restricted view in terms of information that can be leveraged. 82% of the businesses with a mature data strategy have successfully addressed the issues of these stagnant systems, and 86% have mastered the art of data integration to obtain a full 360 degree view.
Your business is a goldmine of data, and data-driven marketing seeks to extract it from every nook and cranny to create a marketing strategy that’s based on hard evidence and real-time insights. Check out our video series on data-driven marketing for a more comprehensive overview. Don’t forget to subscribe!