For a small business owner the term “Big Data” can be rather intimidating. What exactly does it mean? Does the time needed to understand and employ big data require a full time employee? How useful is big data for small business? These are the main questions asked by small business owners looking to catapult their business ahead of the competition.
What Does Big Data for Small Business Mean?
Big data is a combination of old and new technologies that helps companies gain actionable insight. It is the capability to manage a huge volume of data, at the right speed, and within the right time frame to allow real-time analysis and reaction. Ex. As a small business owner who sells women’s shoes wouldn’t you like to know where and when to advertise to those customers that will most likely buy your shoes? That is exactly what big data strives to show you.
Does Using Big Data for Small Business Require a Full time Employee?
Yes! As a business owner you will not have the time to understand and develop methods of using big data yourself. While you do partake in the building of the algorithm, you will not have the time to spend trying to understand all facets of this specialty. You will need to employ a full time person well versed in predictive analytics to immerse themselves into your industry and with your help determine what it is you want big data to “tell” you. They will obtain tons and tons of data sets that will pertain or perhaps not pertain to your industry. They will build an algorithm (which is just a set of step by step instructions to show what order you should take to view data to arrive at a conclusion).
How Useful is Big Data for Small Business?
Utilizing big data is extremely important to any size business. While time consuming it will pay off in dividends once it shows you exactly who your customers are, where they shop, what their likes and dislikes are, what they have in common, where to make marketing spends and where to find more customers that will make your company profitable. Information is an extremely valuable commodity. It will provide all the answers to your sales and marketing efforts.