Big Data & Analytics Shaping the E-Commerce Industry
All consumers' online and offline activities today are a source of data; and, more so on the Internet, with data generation capabilities at an all-time high.
With improvements in technology, the ways to manage, capture, and study the data have increased dramatically. Big data is the buzzword that describes the tasks of collecting, storing, retrieving, and analyzing data that is massive, constantly flowing, and available in various formats.
With Volume, Velocity, and Variety (read Website Magazine's Big Data Intelligence Starter Pack) being at the core of big data operations today, almost all industries face signicant challenges of maintaining their data, sorting out the most useful pieces from it, and leverage it to derive knowledge and value from it.
The potential of big data is enormous, and when used in the right manner, it can drive business growth and success like nothing else. This is why the e-commerce sector has also been quick in embracing the technology.
These are some ways in which big eata is altering the e-commerce space forever:
- Customer-centricity – In the E-commerce arena, the customer is treated far more royally than in any other industry. This is because the only point of contact with the customer is through the online channels, and the sales point is also present online. Customer/user-generated data plays a major role in measuring the customer sentiment for products and services offered by e-commerce companies, and in making sense out of the users' preferences. This year, e-commerce business will get real with their big data leveraging plans and will fine-tune into their analytics strategies.
- Market analysis – Through a comprehensive analysis of the market and the study of the overall market sentiment, businesses will launch their products and services on E-commerce platforms. Moreover, many businesses will plan a revamp of their big data analytics solution strategies to fit the newer analytics models and to better their efforts in the space. Trends prediction is also crucial for the online e-commerce players to stay ahead of the curve in their sectors.
- Seasonal shopping – Through the efforts in predicting trends and identifying patterns, e-commerce businesses will work to offer seasonal trending products to their customers. According to the seasonal demands, the customers will be enabled to buy what they are looking for without wasting any time. This study of the trends and analysis of the customer behavior and preferences will allow e-commerce businesses to become more proactive in determining their marketing strategies and driving their business growth.
- Mobile Commerce – The mobilization of all industries and the application of big data analytics in mobility software has only become possible because of the latter. When it comes to e-commerce, it is big eata that allows businesses to collect data from various points and analyze them through the mobile technology. Google's search algorithm also favor the websites that are responsive and cater to the smaller screens.
Big data is driving e-commerce businesses to change the way they serve their customers, too. Customer services have become highly significant for E-commerce businesses. As a result of a poor customer service experience, most of the people avoid buying again from that business. Therefore, for all e-commerce companies, customer service holds special importance.
With big data, companies are analyzing their customer satisfaction through several metrics and working hard to deliver exceptional customer services and experiences.About the Author: James Warner is a business intelligence analyst and cloud application developer at offshore software development company NexSoftSys.