Data Science: Discovering the Uncharted Value in Your Data
Data these days can become a behemoth of a beast, unwieldy in nature with more tentacles wrapped around different bits of information than you know how to manage. Here are 5 areas where data science can help you leverage uncharted insights from your data kraken.
1. Building customer loyalty and retention
At the heart of it, your data is the voice of your customers telling you what they want, when they want it, how and why. A data scientist is able to analyse data and from it and explain to the business what your customers are telling you. This information is much more honest than simple customer surveys, as it looks at the patterns in customer behaviour.
|Using this knowledge, data scientists can build models to understand customer retention and look at what services, products or practices drive customer loyalty and therefore what the business can put in place to encourage retention and reduce churn risk.||Data science can support businesses in identifying valuable customer groups and what types of services or products those groups are particularly interested in.|
2. Achieving profitable growth with new customers
Data science enables organisations to identify barriers for getting new customers or members and how to remove them. It has the potential to predict what new customers want and identify unmet customer needs. This can give you insight into what your customers may want in the future and how to shape products and services for new markets.
3. Gain a competitive advantage by improving customer experience and optimising marketing campaigns
Data scientists can craft a ‘human journey’ map by interpreting the value in your data. Using your data, they will map how customers interact with your organisation, how you listen to them, what path their journey with you takes. This knowledge is fundamental in gaining a competitive advantage, because you now have rigorous evidence that underpins how you improve this journey. In this way you are able to give your customers or members a much more personalised experience.
This may be in the form of product recommendations, tailored products and services, or optimised marketing campaigns that target specific groups of your customers with campaigns matching their interests and needs.
4. Automate processes, drive efficiencies and reductions in operational costs
Data scientists start with the business challenge and use this to look at how they can create efficiencies and reduce costs. This could include any aspects of business operations such as streamlining logistics and warehouse operations, putting automated processes in place to manage customer transactions or emails, using image detection to monitor remote sites and much more.
The more challenging and complex the business problem, the more exciting and interesting it is for a data scientist to tackle. Data scientists can add huge value to business operations in sometimes unexpected ways.
5. Reduce fraud and risk using real-time data
Data science can be used to search for anomalies in your data and track potential fraud. Real time data is able to be used so that fraud and risks are detected and addressed quickly.
We’ll talk more about each of these in upcoming blogs with lots of examples.