Week 4 - BALT 4361 - Data In Business

Business Data

Marketers can now leverage data to analyze customer behavior, preferences, and buying patterns to make targeted campaigns. An example given in the text is related to beauty marketing where they collect data related to customer preferences, purchase history, and email engagement. They then use it to identify patterns and create personalized and relevant campaigns. From this, they sent out targeted emails and saw a 20% increase in the conversion rate of their email campaigns.

Predictive Analytics

Predictive analytics shows us that historical data helps us predict future events. This is especially useful in company forecasting to identify trends and anticipate customer behavior, which in turn helps companies make better decisions to reduce costs and improve overall performance. Supply chain predictive analytics can help companies understand how to improve inventory levels and reduce overall waste. This method uses a predictive analytics model through a machine learning platform such as Google Cloud or AWS and uses many different professionals from data scientists, and supply chain analysts, to software developers.

Customer Segmentation

Customer segmentation can help in separating customers into different groups to try and better target high-value customers in hopes of retaining them long-term. This works by separating customers by interests and preferences and can go on to provide product recommendations and personalized experiences. Some of the tools used are Google Analytics and or Segment to group customers specifically.

Risk Management

Risk management is extremely important for companies to implement as it prioritizes risk and allows companies to control how they move forward with certain decisions. Again, data within businesses like this allows for transparency behind the scenes and can go on to pay huge dividends as opposed to going without data analytics. Risk management analytics allow companies to see potential risks associated with market volatility and develop a strategy for future portfolios.