The amounts of data we produce on the Internet daily is getting increasingly bigger and more confusing. Every minute, 204,166,667 emails are being sent and an average office clerk will produce data amounting to 3,6 million megabytes – in the course of one year.
The so-called Big Data generates information that authentically displays the real life, thinking and feeling of humans. But what is Big Data actually? This abstract term is variously defined. In general, Big Data describes a large amount of data that can be gathered from different sources, saved and analysed. Here, big firms consider it to be “Big Data” as from 100 terabytes – midsize companies do so as from 1 terabyte already.
Using the data flood effectively
Dealing with Big Data is becoming more and more important for manufacturers and merchants since it opens up extensive options for market research. According to the Study of the branch association Bitkom that was run by the IT-market research and advisory firm Crisp Research the demand for Big Data analyses will increase by 59% to 6,1 billion EUR in 2014. This is an immense rise that is even considered to be doubled until 2016. Online market research almost only focusses the consumers yet. However, the product and competition research is an important analysis field that is gaining more and more significance.
The advantages of expressive Big Data Analytics are distinctly apparent. Using it, retailers and manufactures are able to get a widespread market overview what enables to perceive trends, chances and risks early. Which products are already on the market? How are they similar or different to one’s own products? Which price is a product sold for and how does the price develop over a longer period? Which stadium of the product life cycle is an article in? This wealth of information allows trading and operating faster and more effective in the online market than the competitors can and to position own products strategically optimized. Maximal market transparency is the aspiration. The more measurement data he considers to be intelligent, amalgamates and analyses the higher is the possibility of him making use of it, is what Thomas Keil stated on his blog Business Intelligence News.
The ideal market overview
For an increasing number of companies, the ability of processing and analysing in real time is becoming more and more important. This is an outcome of the Study by the IBM Institute for Business Value from 2012. 61 % of the 1144 IT and technical managers that have been interviewed assume the usage of data to be a competitive advantage. Nevertheless, the study also reveals the difficulty of Big Data research because almost all interviewees stated that they were only using intern data sources for their analysis projects. For retailers and manufacturers, it is now the task to make extern sources usable for market analyses. The vast flood of data has to be overviewed and polished in order to select relevant data. If a company aims to use Big Data effectively, Advanced-Analytics-Competencies that most people do not possess are required. However, there are already well-performing, standardized solutions covering this research area.
Learn more about blackbee and how you can utilize it in order to easily and vividly analyse and evaluate even large amounts of extern data as for instance product and price information.
Read in our whitepaper “Retailer monitoring for brand manufacturers” how to use big data as an eCommerce company.