- September 19, 2016
- Posted by: Nabler Marketing
- Category: Customer Analytics, Data Visualization
Through a study conducted by Harvard Business Review (HBR) on customer experience strategies that work, one of the primary conclusions drawn was: companies that focus on specific strategies for optimizing customers reap a multitude of benefits – revenue increase, more engaged employees, and happier customers.
Gartner points out that “89% of companies surveyed plan to compete primarily on the basis of the customer experience by 2016.” Given that the focus is so high on “customer experience” today, data visualization is being touted as the next big thing in the future. Why?
First – Data visualization tools help identify factors that influence customer behavior, predict sales volumes, and understand product performance patterns. It basically helps one understand and analyze the fundamental aspects of customer experience and behavior.
Second – Instead of teams laboring over spreadsheets and reports, data visualization tools help businesses visualize complex data with simple and easy-to-use charts, graphs, meters. Data visualization allows the user to analyze large volumes of data in a simplified, yet universal manner.
Third – It provides the users with the flexibility to test out various scenarios or drill down by making slight modifications with real-time data.
If drowning yourself in reports and making sense out of large spreadsheet-data is not your thing, then it’s obvious what your organization should be gearing towards. Let’s look at how data visualization is helping enterprises improve their overall customer experience, compete in the market, and further their business goals.
Collecting accurate data
The objective over here is to be precise with your facts and figures. Prima facie, the questions in this area would be:
- Who are my potential customers and how do I acquire and retain them?
- Who are my high-value customers and how do I proactively communicate with them?
Inaccurate data on the above would lead to unwanted business outcomes. While implementing a data visualization tool, organizations can ensure data accuracy and precision by confirming that the relevant data is on the same page and they are all talking in one single language. So essentially, when multi-channel and multi-source analytics are carried out, the desired insights are accurate which then helps drive business decisions in the right direction.
Integrating customer data from all sources
Typically, business unit heads within a company – marketing, sales, IT, customer service, business development, etc., manage customer analytics. Given the interdisciplinary functioning, a unified understanding of the customer metric, that they need to focus on as a team, becomes important. Without a mutual consensus on which metric builds and improve customer base, the team could be well working in different directions.
It is essential that a single customer hub that churns out information on CRM applications, ERP applications and CDI (customer data integration) is made available. With the help of a one-stop customer hub providing data on all aspects of the customer, the team is guided to make relevant and bilateral decisions on improving customer delivery and experience.
One needs more than a fancy dashboard to reap the benefits of data analytics. When you implement a customer analytics tool, the tool should point out not-so obvious business questions, help teams discover hidden trends and opportunities and enable them to make data-driven decisions with confidence. As the spine for all marketing activities, customer analytics should enable you to figure out new estimates from old calculations, drag in reference lines and forecasts, and access statistical summaries. The tool must give you the convenience of being able to experiment with trend analyses, regressions, and correlations.
Leveraging Big Data
The challenge today is that businesses are struggling to generate insights or justify spends on Big Data Analytics. With the help of data visualization tools, any type or size of data can be presented in a relatively simple dashboard – structured or unstructured data can be converted into integrated meaningful data. Millions of rows can come together to bring the next big idea for your business. The visual representation technique and easy-to-use dashboards allow one to make sense of complex data with ease. The simple point-and click methods allow users to play with data sets instinctively and identify opportunities.
Organizations are focusing on innovative ways and methods to improve customer engagement and gain that extra edge over their competitors. Data visualization can help businesses improve customer delivery by building their brand and ensuring that they are getting noticed. If it is all about optimizing customer experience today, then data visualization is clearly the game changer.