Ebay, Google and LinkedIn were pioneering companies in investigating whether their existing analytical models could be enhanced with new data sources by creating proof of concept and small-scale projects. With the trials giving positive results, big data analytics has become a popular tool used by numerous companies which are looking to optimise on the three main benefits it offers.
1. Cost Reduction
While it may be difficult to compare big data technology and mainstream architectures (such as data warehouses and marts) on a fundamental level as they each operate in completely different ways, large companies are choosing to move forward with big data technologies due to the cost advantage it brings. Hadoop and cloud-based analytics are commonly employed by companies including Citi and Wells Fargo to improve their current architectures, where big data technology is used for new data. In the long term, this will ensure large companies are able to manage big data in a more cost-effective manner.
2. Better Decision Making
Big data analytics can ensure quicker and better decisions regarding big data which is very attractive for large companies who are looking to speed-up existing decisions. Caesars, a front-running gaming company, has embraced big data analytics for this purpose. Caesars has been able to minimise the real time it takes for its customers to be presented with another offer on a slot machine which they have lost on before they walk away.
United Healthcare is another company which has paid attention to how big data analytics can make better decisions by evaluating new sources of data regarding customer satisfaction levels. Ultimately, this has helped companies identify a problem in its early stages, working to improve or solve the issue before it grows to have greater ramifications. This reduces costs to the company and increases marketing and sales effectiveness.
Esri International User Conference, San Diego, CA (Image by Kris Krüg, Flickr)
3. New products and services
The most unique feature of big data analytics is its ability to develop new products and services for customers. While this was predominantly very much specific to online companies, offline firms are now able to do it. Verizon Wireless is a company which has optimised on this, selling information about how frequently mobile phone users are in particular locations along with their activities and backgrounds. NBA basketball team Phoenix Suns has worked with Verizon Wireless to gain an insight into the details of people attending their games, which has produced very valuable results to the team's advertising providers.
Similar to the companies which have already incorporated big data analytics in their processes, Protogen promotes big data technologies as having the potential to significantly enhance a business's potential and overall value. Contact us to find out more.