World Statistics Day is celebrated on October 20 every five years to remind us of the importance of data and numbers in decision-making. We may not always realize it, but data plays an integral role in our daily lives. Every day, we produce about 2.5 quintillion bytes of data just by surfing the web or scrolling through social media.
For businesses that want to gain a competitive edge, data can be the fuel that propels them to greater heights. Even today’s most influential and powerful companies, from Facebook to Amazon, rely heavily on data science and analytics when making crucial business decisions.
Companies work with data statisticians and analysts to comb through raw digital information and look for patterns that may help them improve their products, services, or strategies. And for those organizations that have trouble building an in-house team of data professionals, data science outsourcing can be the ideal solution.
In honor of World Statistics Day, let’s look at what the numbers say about the importance of data science outsourcing in today’s business landscape. Then, we’ll cover just a few ways companies utilize data to their advantage.
Gain a Deeper Understanding of Consumer Behavior
Statistics are more than just numbers; they can provide valuable insight and information into how people think and act.
Businesses of all industries rely on descriptive statistics to identify how their target consumers behave and understand what they want and why they feel this way. When conducted properly, consumer insight research can allow companies to understand better how to improve their products, services, or customer experiences, thereby increasing sales and revenue.
For example, let’s say that you run a dental product manufacturing company. A few days ago, you noticed a sudden and unexpected rise in toothbrush sales among a specific demographic (say, young women aged 18 to 25).
You don’t understand why consumer demand for your product suddenly skyrocketed, but you want to be able to capitalize on the opportunity. Through data science outsourcing, you can hire a statistician to help you identify why your consumers’ preferences suddenly changed.
After thoroughly examining the data, from the consumer demographics to the time of purchase, your statistician can provide a data-driven answer to the mystery. Perhaps, the rise in toothbrush sales is correlated with a post-Valentine’s Day spike in chocolate sales, which contributed to an increase in cavities and a greater demand for quality toothbrushes.
If that’s why your consumers are suddenly in the market for a new toothbrush, you can use it to your advantage. Emphasize Valentine’s Day in your marketing posts and even create special “singles” discounts and “couples” deals to entice more customers to interact with your brand.
Identify and Highlight Industry Patterns and Trends
In addition to helping businesses gain deeper insight into their customers’ needs and preferences, statistics can also help enterprises to spot trends in their industry. Data statisticians can create visualizations, such as line charts or histograms, allowing business leaders to easily see the bigger picture and help them create a more precise roadmap forward.
Before making significant changes to their business strategy or service model, companies partner with a data science outsourcing professional who conducts market analysis and research.
The right outsourcing provider can help you stay mindful of your organization’s internal systems and changes in your external environments. They take note of disruptions such as industry-specific laws and legislations, political and economic conditions affecting consumer preferences, or changes to technology that may affect your operations.
Create More Personalized Customer Experiences
Today’s customers care deeply about being “seen” and understood by their chosen brands. In a recent Accenture report, 91% of customers say they are likelier to do business with a brand that presents them with relevant offers and information. In comparison, 80% say they purchase from brands that provide a personalized experience.
Without utilizing data in their decision-making process, companies might mistakenly rely on guesswork and gut instinct when designing their customer experience strategy. The problem with this approach is that what you think your target consumers want and what they really want may not always be aligned.
Data science outsourcing can make it much easier for businesses to customize their offerings for specific consumers, basing decisions on evidence and proof rather than purely guessing. Using insights from raw data and statistics, brands can tailor a customer’s experience based on their age and demographics to their past behaviors and interactions with the business.
For example, consider how Netflix uses its users’ location, demographics, and viewing history to determine which shows and movies to recommend or feature on their home page. This algorithm allows customers to avoid getting flooded with irrelevant recommendations and immediately jump straight to binge-watching a new show that piques their interest.
Partner With SuperStaff for Reliable Data Science Outsourcing
Now that you understand the advantages of utilizing data in business, it’s time to take the next step: finding your ideal data science outsourcing provider. Let the professional team at SuperStaff help you capitalize on the power of data and statistics to propel your business forward.
Our data scientists and statisticians understand how crunching numbers can lead to better business decisions. They are skilled at extracting actionable insights from raw information to help clients understand their business’s strengths and pain points.
Contact us today, and let’s talk about how we can help you unleash the power of statistics to create game-changing solutions for your enterprise.