The goal of any business is to make as much money as possible. One way to make a lot of money is to have quality data about your customers, their buying habits and what they are likely to spend their money on. In one sense, having quality business data is priceless as it could lead to a relatively limitless increase in both revenues and profits.
Data Helps You See Changes Before They Happen
If you sell luxury items, you are likely to do better when the economy is good and people have more money to spend. In an economic downturn or times of uncertainty, it is less likely that people are going to shell out their hard earned money on things that they don’t need in favor of keeping that money in the bank. Therefore, if you can sense an economic downturn before it happens, you can make changes to your product offerings or offer different payment options to keep your current customers around.
Data Makes it Easier to Offer Great Customer Service
The more that you know about your customers, the easier it is to give them what they want. If you know that your customers are mostly working parents with kids, you know that the best time to talk to them is during the afternoon when the kids are down for their nap or in the early evening when they get home. You may also discern that Saturdays or Sundays are the best days of the week to run a large promotion. This is because a parent may be able to simply drop the kids off at grandma’s house for the afternoon to go shopping. Conversely, you may make the call to offer childcare services or other attractions for children at your next big dealer sale or other public event. Doing so eliminates the need for parents to decide between buying something that they want or need or paying for a babysitter.
Make Use of ETL Tools
Making use of tools that allow you to extract, transform and load data to any platform can be helpful to a company of any size. Some companies, like Domo, know that having the ability to organize and analyze data from wherever you happen to be makes it easier to make decisions about your company and how it can continue to grow. Most ETL providers offer data services that don’t require a company to use any hard coding, which may reduce the cost of utilizing such technology.
Data May Be Sold or Shared with Other Companies
While the thought of selling or sharing customer data is controversial, that data does have value. It is likely that other companies or other outside groups will want to use that data for their own marketing purposes. If your business does decide to share customer information, make sure that you aren’t sharing anything that could be used to commit fraud or other crimes against your patrons. In some cases, having organized and verifiable data may make it easier to obtain a loan, get an investment in or sell your company. If you can show how many customers the business has, how much they spend and how much it costs to acquire a customer, it makes it easier for a lender or investor to make an educated decision about giving your business money.
Organized and relevant data can have a large impact on the success or failure of a company. Without it, you don’t know what your customers want or need both now and in the future. This may make it difficult or impossible to provide the products or services that they would most be willing to pay for.