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The Benefits of Big Data

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Telecomdrive Bureau
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We are generating data with each and every activity performed online. Whether you are watching a YouTube video, sending money to someone, sharing a post on social media, following an influencer on Instagram, or just booked a cab, you are generating data. Collectively, a massive amount of data is generated each day by millions of people using the internet. Such a huge amount of data is known as big data. You may wonder what companies do by collecting big data. Well, they analyze it to get meaningful insights so as to make more informed decisions and strategic business moves.

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Big data is generally characterized in terms of volume, velocity, and variety. These 3 Vs of big data mean that the amount of data is immense, there is a higher speed of data and processing, and data can be generated in structured and unstructured formats, respectively. For a better understanding, you should know that until 2003, the entire world had only five billion gigabytes of data. Today, however, we generate around 2.5 quintillion bytes of data each day. This is how massive present-day data generation is. Now big data doesn’t only refer to such a huge volume of data but also relates to its processing after which that data becomes useful for businesses. You may also call this process big data analytics. 

Today, big data analytics has become crucial for businesses to understand what customers want, where they are missing out on conversions, and how they can optimize their campaigns to lure more customers. Even Amazon Web Services (AWS) offers big data analytics services to help businesses quickly get insights from their data. In fact, people are taking AWS Big Data training to understand how to handle large amounts of data at scale and automate a lot of manual and time-consuming tasks. 

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This article lets you understand the benefits of big data analytics for businesses. 

The Top Benefits of Big Data

Big data is indeed a revolution in the IT industry. It is increasingly being adopted by various companies that are not only limited to information technology but expands to banking and finance, healthcare, aviation, manufacturing, marketing, and telecommunications as well. Discussed below are some of the top benefits companies reap by adopting big data. 

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Valuable customer insights

Customers want a personalized shopping experience these days. E-commerce websites give them product recommendations and update them about recent offers based on their search history and buying preferences. This trend will continue to grow in the future as well. E-commerce companies are able to achieve this through big data analytics. They get valuable customer insights like what kind of products they generally look for, how much discount they prefer, their queries, and complaints. Such information helps them offer a personalized shopping experience. 

Optimize processes and design better products

Big data analytics can help identify trends that usually go unnoticed in an organization. These trends can help organizations understand where the resources are not productive enough, what processes are taking more time than allotted, and look at historical data to become aware of the underlying issues. For example, the aviation industry can use big data analytics to understand if fuel consumption can be optimized and if efficiency can be increased. By improving the efficiency even by a small fraction can save them millions of dollars.

Financial fraud prevention

As today’s businesses rely heavily on data, there are hackers and ill-intended people who are looking for ways to compromise it. Here, big data analytics can help businesses in detecting fraud and minimizing the risks involved. This is specifically beneficial for banking and finance institutions. Through big data analytics, they can view consumer trends and identify any unusual activity happening so as to flag it as potential fraud. This way, companies can prevent any financial damage related to their consumers.

Real-time alerts in the healthcare sector

Today, hospitals are using Clinical Decision Support (CDS) software that uses big data analytics to assess the medical data of patients on the spot and offer health practitioners with advice as they make prescriptive decisions. This data can be collected from the patient through smart wearables and stored on the cloud from where hospitals can get real-time alerts. This way, patients will not have to visit the hospitals and can be treated remotely as well. Practitioners could use that data for research purposes also.

Source of business innovation

Many companies have reported getting a competitive advantage from their use of big data. Such massive data gives firms the opportunity to innovate faster and design products for the future. In businesses, data analysis is promising to create value in various operations, and innovation is leading to optimization of value chains in global manufacturing and more efficient use of labor and tailored customer relationships. Big data analytics can introduce new data practices and create novel decision-making possibilities that will ultimately support a firm’s innovation process.  

Apart from the ones mentioned above, big data analytics is penetrating every industrial sector and offering various other benefits. If you are seeking a challenging career ahead, then big data might just be the field for you. Start learning about it, and you will have a rewarding career in the future.  

Big Data
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