Drive revenueīI gives access to sales trends based on customers’ preferences, reactions to promotions, online shopping experiences, purchasing behavior, and other patterns and trends that impact sales. For example, a company could see how many customers abandon their cart and analyze data to understand why. Accurate decision-makingīusiness Intelligence allows e-commerce businesses to make decisions based on statistical facts, rather than guesses. However, the most successful e-commerce businesses are already leveraging BI to help: 1. That explosion of online shopping provides e-commerce companies with an opportunity - but not all businesses will be able to rise to the occasion. It is often used to compare costs, time, and quality between different companies and departments within the same industry.
The process of comparing data metrics to industry standards. The collection and processing of data (often from multiple sources) to find and analyze patterns in data from several databases. The process of collecting and sorting both current and historical raw data to deliver insights about the business and future opportunities. Online Analytics Processing is a powerful technology used for complex calculations and predictive forecasting. The process of gathering data and using tools to extract relevant insights and business trends. Here is what those mean for your e-commerce business. The five main functions of BI include reporting, OLAP, analytics, data mining, and benchmarking. How is business intelligence used? Well, it all depends on your business, the data you have access to, and what information you want.
Prescriptive analyticsĪ deep dive into the data to determine, “How should we respond to events in the future?” This is the core of data analytics. The analysis of data to answer the question, “What could happen in the future?” Predictive analytics falls under data analytics. It answers the question, “Why did it happen?” It is used most often in BI, but may have applications in data analytics. Diagnostic analysisĪnalysis of the data to determine why certain events occurred. The first stage of data processing designed to answer the question, “What happened?” It is used in both business intelligence and data analytics. Below is a quick primer on the stages and whether they fall under business intelligence or data analytics. There are four main aspects of overall data analysis. This chart provides a quick rundown of the difference between business intelligence and data analytics. “The difference between Business Intelligence and Data Analytics lies in the fact that Business Intelligence helps in making business decisions based on past results while data analytics helps in making predictions that are going to help you in the future.” Van Rijmeman Data AnalyticsĪlthough business intelligence and data analytics are often used interchangeably, some nuances set them apart.Īccording to Mark van Rijmenam, the CEO and Founder of Big Data-Startups, the main difference between the two is the time the data is used to inform. This would highlight shifts in the frequency of complaints, such as an increase in a specific city, and allow the business to investigate the causes.īusiness intelligence can be leveraged to better understand a massive amount of data from a variety of tools, including sales automation, chatbots, logistics, inventory management, or any other number of data-generating actions. What is Business Intelligence?īusiness intelligence, often shortened to BI, is the practice of leveraging tools to access and sort data to present actionable insights about a business’s strategic and tactical goals.įor example, a banking company might use a BI dashboard to analyze data about complaints they receive and sort them by location, account type, or time period. Here’s what you need to know about using business intelligence - even if your e-commerce business is still growing. There is a silver bullet that could make all the difference for your e-commerce business - and it is business intelligence. Customers have thousands of e-commerce businesses to choose from, and they are bombarded with ads on social media, streaming videos, and targeted emails. This digital transformation presents e-commerce companies with a massive opportunity to build and grow successful businesses.īut, that opportunity is not without challenges. It has changed the way we order dinner, buy pet food, access entertainment, and, yes, even the way we look at business data. Did you know that more than sixty percent of the world population has access to the internet?Īccording to Broadband Search, 4.79 billion people worldwide use the internet on a regular basis.