Increasing age is directly proportional to the complexity of technological advances in various industrial sectors and business areas. It is obvious that most companies now use data science as an important element in decision making. Because, the benefits of data science in helping and facilitating business processes are actually very diverse.
This is because in the age of marketing 5.0 as it is now, most companies have done digital transformation (digitalization of business). This means that these companies use data analysis as a reference in the decision-making process. The longer the time, the bigger the data they have, or we often call it big data.
Processing large amounts of data is what makes companies need data science to help facilitate computation. Because data science combines artificial intelligence (AI) and machine learning in the process, it can produce faster and more accurate big data analytics.
With more accurate data analysis results, it greatly helps the company in achieving its business goals and objectives. That is, earning as much revenue and profit ratio as possible, minimizing risk (risk management) and experiencing rapid business growth to support business continuity in the future.
This is because data science will be very useful in supporting sound business decisions based on data. So that every aspect of the business process will be more focused and structured. For example, more effective marketing operations, maximized sales process, more optimized product development, better customer service and CSR to achieve TQM (Total Quality Management) in the company.
Benefits of data science for business
The development of marketing technology in the era of Marketing 5.0 has inevitably forced companies to adapt.
As a basic concept, Marketing 5.0 itself is intended to integrate technology and human resources in order to create equality. This means that humans must be able to use technology appropriately to support business success. This is why companies also need data science to maximize performance and business performance.
Data science is useful for processing, storing, processing data, analyzing and visualizing it (data visualization) based on the needs of the company. With data science, companies don’t need to waste a lot of time analyzing big data. The results of this data science will have a major impact on the business decisions that the company will implement in the future.
For example, to determine a more effective marketing campaign strategy and advertising strategy, forecasting (business forecasting) based on the data that the company has, to determine the best business development strategy.
For more details, the following are some of the benefits of using data science in business that you should know
- More detailed analysis results
Of course, the advantage of data processing is that we can produce more accurate and useful analyzes for the company. If you use the results of data analysis correctly, the company can create products or services according to the market orientation.
However, processing large amounts of data is certainly not a simple matter. Therefore, computational and analytical skills are needed to overcome this. This is where data science plays a role in facilitating the data management process and determining how accurate data analysis results are to aid decision making.
- More efficient and time saving
The benefits of data science in this case still relate to the previous point. Where its application can help companies save more time in the big data processing process. In this way, the efficiency of business process management will also be achieved. Not only in terms of time.
Companies can also create efficiencies in production systems and processes, employee performance, minimizing total cost of production (cost of goods) and resources. This, of course, will be very useful for increasing sales (sales growth) and company profits.
- Helping to better understand customers
The application of data science also helps companies better understand market segments and customers. Because companies can gather information about the target market based on the customer data they have.
From this information, companies will get insights or knowledge about customer needs, customer pain points, consumer behavior (customer behavior), sentiments, etc., which are useful for determining the temperature of the market.
In addition, this information can also be an important asset for companies to create a more effective customer and user experience. So simply, through the use of data science, companies can perform more accurate market analysis to achieve a broader and more targeted market share.
- Increase customer satisfaction
With a good understanding, it will surely be easier for you to increase customer satisfaction, right? This one point relates to the previous benefits of data science. If you really understand the demand and needs of the customer, companies can also create quality products or services according to their demands.
As a result, customers will be satisfied with the company’s products/services. You should know that customer satisfaction is one of the main keys to success in business. Because customers who are satisfied with the quality of a brand (brand value) do not hesitate to buy again (repeat purchase).
As a result, brand loyalty and customer loyalty will be formed organically. With the formation of this loyalty, the company’s opportunity to increase customer retention, so that the conversion of leads also increases significantly. In fact, the company will earn more profits by getting more customers and sales leads.
- Minimize risk
No company wants to experience sheer risk while running their business. So, you can use data science to minimize this. Because data science can identify, process and analyze data based on certain patterns. If the data does not match, the data scientist can remove or evaluate it.
An example is in the finance or corporate finance department, where fraud and data manipulation are often found to cause losses.
- Creating quality and relevant products
Another benefit of data science is that companies can create or develop quality and relevant products. Through market research data, companies can produce products according to customer needs.
For example, by understanding market trends, companies can create products that are viral and popular with many people.
For example, production of hand sanitizers has increased dramatically during the pandemic. In addition, data science can also help companies analyze product positioning by conducting competitive analysis.
Therefore, the company can find out the weaknesses and advantages of competitors’ products. With this, the company will be more alert in the face of the threat of new entrants entering the market. This is an overview of the various benefits of data science in the business world. Of course, the use of data science will greatly help companies to develop and progress in this era of technological growth like today.
This is evident by the growing need for professional data analysts and data scientists to help process enterprise data.