What is Big Data?
Big Data is a revolutionary technology that can contain a vast amount of data and is exponentially growing in today’s times. Big Data is so huge that conventional data management tools cannot process it. Some examples are social media, stock-exchange, etc. Big Data is further categorized into structured, unstructured, and semi-structured data. In this blog, we discuss how e-commerce players are leveraging Big Data for their business.
The E-commerce industry is flooded with a constant flow of data that needs to be acted upon. So, understanding such huge sets of data is the primary task. Big Data has proven to be a game-changing factor for how online retailers function. It helps e-commerce players to collect and analyze these huge data sets and turn them into valuable insights. Businesses become capable to use these insights and make important strategic decisions.
Take a look at 5 ways how e-commerce is leveraging Big Data:
Personalization
The single most important factor that sets apart every e-commerce platform from the other, is personalization according to customer’s choice. All e-commerce platforms track audiences’ preferences and this helps them to build their product catalogue displays for different accounts. Big Data helps to provide a unique and customized recommendation of products to customer’s account basis their past choices or wish lists.
Predicting Demand
The E-commerce sector is a tricky one where businesses strive to always meet customer’s demands. While at the same time maintain stocks in a manner that unused inventory does not run into losses. This part is especially crucial for companies. Big Data to the rescue! It has tools that can accurately calculate demand, current stock, and make future demand predictions. This results in helping companies to purchase the right amount of inventory.
Optimize Pricing
Another key component for businesses is to chalk out competitive price points. Also, ensuring that customers get the best choices of prices. Big Data with its data analyzing skills helps online platforms to track spike and fall in demand. In this way, a business can optimize its price points and enhance profits.
Better Customer Service
For E-commerce industries, the most important tool is data analytics. Business Intelligence software analyzes common issues and helps in resolving customer complaints. Less user interface or user experience issues automatically mean a seamless experience for the end-user.
Fraud Prevention
For any business to run successfully and attract customers, it needs to be completely safe and secure. Especially, with online platforms, where customers make payments online and share their credit/debit card details. Big Data helps to detect real-time frauds and prevent them.
The world today is full of data. There is data everywhere and in everything in this digital age. Data is of no good use unless it is structured and converted into valuable insights. Big Data helps to transform humongous amounts of data & helps business revolutionize their operations, supply chain management, marketing techniques ultimately generating higher productivity.
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