Ecommerce Sites Must Leverage Big Data To Increase Their ROI

Must Read

Facebook Reveals Big Plans Behind The WhatsApp JioMart Integration In India

After Facebook Inc. (NASDAQ:FB) acquired a minority stake of 9.99% in Jio Platforms for a whopping $5.7 billion in...

Can CBD Gummies Be Beneficial For College Students?

College students often feel more pressure than they have ever—or will ever—feel in their entire lives. Many...

Facebook Launches Music Videos to Eat into YouTube’s Market

With the launch of Music Videos, Facebook has made another competitive move against its biggest opponent, Google.

Big data is what online retailers should look for!!

Big data is a term used to refer the exponential growth of available data that consists of a massive volume of structured and unstructured data. The data sets are so huge that it is difficult to process using traditional database and software data processing applications. This is how IBM defines Big data:

“90% of data in the world has been created in the last two years alone. This data comes from sensors to gather climate information, posts on social media sites, digital picture and videos, purchase transaction records, cell phone signals and such. This data is called Big Data”.

Ecommerce business and retailers with online presence operate in a very competitive and fast paced environment. There is a demanding need for retailers to satisfy the customers who have a varied range of choices and Ecommerce systems need to provide appealing solutions before impatient customers who tend to switch to competing websites.

Advertisements

Making Use Of Big Data

The benefits of Ecommerce data analytics are vast and clear for all online retailers. Online retailers are some of the best beneficiaries of big data analytics because they have access to endless amounts of intelligence about their customers’ behaviors and purchases. But, while 80% of retailers say they’ve heard of “big data,” only 47% say they understand how to apply it to their business, according to a survey by retail research firm Edgell Knowledge Network.  Big data is the hottest trend doing rounds, that has all industries working on analyzing and using the huge amount of data in a manner that results in growth and profits in the online market. Ecommerce industries deploy predictive models in combination with recommendation engines that drive automated next best offers and tailored interactions across multiple interaction channels.

The big data analysis helps the retailers to know how they can best satisfy their consumer needs.  These are some of the analytics of big data that Ecommerce retailers will look for:

  • 79% of consumers follow brands on social networks
  • 70% of shoppers trust product reviews
  • 63% of consumers use smartphones to research purchases
  • 86% of customers are influenced by negative reviews
  • Less than 1/3 of retailers have a conversion rate better than 4%
  • 21% of consumers abandon online checkout when they have an inefficient process
  • By 2018, 54% of transactions will happen on mobile .

using bigdata

 

Here is an infographic on the usefulness of big data on Ecommerce industries provided by Monetate.

bigdata

Flipkart Making Best-Use Of Big Data

The online Megastore Flipkart used big data and analysed user perspectives to gather information, so as to derive changes and transitions as smoothly as possible. They streamed various performance metrics of their website on a large screen, so that their engineers could track performance in real-time. Whenever they wanted to change the design of the website, they allowed multiple versions of the site to be live simultaneously. This framework redirects 10% of flipkart’s traffic to new design. They can then evaluate the impact of change with the metrics collection tool. If the new change leads to a dip in sales, they can immediately roll it back, affecting less than 10% of its traffic.

Now with various big data providers arriving in the scenario, even small ventures can make use of it in a very cost-effective way. Using big data helps improve customer experience, enhances opportunities for personalization and prediction, help’s in dynamic pricing and improving the supply chain efficiency. Big data is now definitely a must for a business to be able to cope up with the ever-increasing dynamic user expectations along with the same users are the sources to big data analysis.

Advertisements

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Latest News

After Facebook, Now Twitter is Caught Abusing Phone Number For Ads

Thanatophobia, or fear of death, is a relatively complicated phobia. Similarly, fear of losing your digital accounts to...

Warren Buffett’s Stake In Apple Is Worth More Than Combined Valuation of All Startup Unicorns in India

The Oracle of Omaha has got an eye for a good bet and it's proven time and again. Once a popular critic...

Microsoft Aims Global Acquisition Of TikTok, Including India!

It seems like TikTok can finally shed its Chinese origin from all over the world. It has recently...

Will Google’s Move To Delete 2,500 YouTube Channels Add Fuel To The Fire With China?

The US-China trade war has started rearing its ugly head. Both sides are now turning to extreme measures on the digital front...

Will You Buy iPhone 12 Pro At US$20,500?

if you are suspecting any typo error here, you are highly mistaken! The price of iPhone 12 Pro is US$ 20,500 now...

Google Is Shutting Down Google Play Music

Google Play Music will soon be buried in Google's graveyard. The company has announced that by December the service will be completely...

In-Depth: Dprime

Facebook Subscription Model: Looking Beyond Ad Dollars?

Seldom do job listings create a stir this gripping. However, when the job listing in question is a stealth post from Twitter,...

Will The Online Food Delivery Market in India End Up Becoming A Two-Horse Race?

It's pretty much evident that the food delivery space in India is all set to get riled up soon enough as one...

Fantastic 4: Four Day Work Week A Flashpoint Of Innovation?

It has been an idea that has been mooted by many, perhaps also somewhat sceptically. From being a dark horse to becoming...

More Articles Like This