Big Data in Marketing

 

Big data analyzes massive amounts of data and converts it into information that is being used to transform the world. Today, nearly 6,500 million connected devices are sharing information over the internet. In 2025, this number is expected to go up to an estimated 20,000 million connected devices! Big data is the set of technologies created to analyze, store, and manage this bulk data to identify patterns in the chaos of this information explosion. It uses the patterns in this data to help design smarter solutions. Big data is used today in agriculture, medicine, gambling, environmental protection, and more (Corporativa, n.d.). Big data is used in an endless number of applications, including:

·        GPS systems used to detect traffic jams and suggest alternative routes to avoid the traffic

·        Smart watches monitor the heart rate of its users and based off of this data identifies patterns that can both anticipate and prevent cardiovascular diseases

·        Humidity sensors help plan the irrigation frequency, combining this data with weather data

According to Talend, n.d., structured data is data that has been predefined and formatted to set a structure before being placed in data storage, which is often referred to as schema-on-write. Unstructured data is data that is store in its native form and is not processed until it is used, commonly referred to as schema-on-read. Big data relies on both structured and unstructured data to detect patterns and make predictions. Companies can use this information to their advantage to automate processes, gain insight into their target audience, and improve overall performance by using the feedback that is readily available to them (Institute of Chartered Accountants of Scotland, 2019).

The online retail giant, Amazon has access to and uses a massive amount of its customer’s data including their include names, addresses, payments, and search histories. This information is used in targeted advertising algorithms to help improve customer relations, which is one area where a lot of other big data users overlook.  When a customer contacts the Amazon help desk, the operator already has most of the customer’s pertinent information available to them. This allows for a faster, more efficient customer service experience (Institute of Chartered Accountants of Scotland, 2019).

Netflix is another company that uses big data to gain a market advantage. It possesses a wealth of information of data and analytics that provide insights into the viewing habits of millions of its international customers. Netflix uses this data to commission original programming content that appeals to their global customers, as well as purchasing the rights to films and series sets that they know will perform well with certain audiences, one example of this is Adam Sandler. He has proven to be unpopular in the US and UK markets but Netflix planned to have him star in four new films in 2015 based on the data that his previous work had been successful in Latin America (Institute of Chartered Accountants of Scotland, 2019).

 

References

10 companies that are using Big Data. Institute of Chartered Accountants of Scotland. (2019, September 18). Retrieved January 23, 2023, from https://www.icas.com/news/10-companies-using-big-data

Corporativa, I. (n.d.). Big data: Main uses and applications. Iberdrola. Retrieved January 23, 2023, from https://www.iberdrola.com/innovation/what-is-big-data-what-is-it-used-for#:~:text=Big%20data%20is%20the%20set,agriculture%2C%20gambling%20and%20environmental%20protection.

Structured vs. Unstructured Data: A complete guide. Talend. (n.d.). Retrieved January 23, 2023, from https://www.talend.com/resources/structured-vs-unstructured-data/#:~:text=Structured%20data%20is%20highly%20specific,employs%20schema%2Don%2Dread.