Gradually, we will see fewer and fewer undigitized companies on the market. It is inevitable that the digital transformation will reach all corners. And for those who do not join it, it is also inevitable that growth will come to an end. I don’t want it to sound extreme, but this is really a natural prediction given the current scenario.
So now that at least half of businesses have recognized the importance of digital presence, we’re facing other obstacles. One of the main ones is how we handle all of this digital marketing data.
These are really elusive numbers. Billions of data are in circulation on the internet, being processed between companies and audiences of all kinds. To get an idea, many studies have shown that the amount of data produced in recent years is greater than in the entire history of mankind. And yes, the trend is for the volume to continue growing.
So, many companies reach the paradox of data: they have access to it, but they don’t know what to do from there, nor how to correctly monitor such a significant amount of information.
The issue was proven by the study Data Paradox, performed by Forrester consultancy and commissioned by Dell Technologies. It points to an important difference between companies that work smartly with data and those that don’t take advantage of their own gold mine. Furthermore, among the global findings is some alarming information:
- 70% of businesses worldwide are collecting data faster than they can use it;
- 64% have such a high volume that they are unable to meet safety and compliance expectations in handling;
- 61% constantly deal with overloaded data teams.
Around the planet, more than half (54%) of companies are new to managing and applying data to their operations. This translates into challenges in processes, technology, in the team and in the organizational culture itself. Here, in Brazil, we are in the same range: 48% of businesses are in this initial stage.
The obstacles to getting out of this situation are varied and depend a lot on the difficulties of the company and the sector in which it finds itself. However, there is an extremely common challenge that cuts across all areas: the centralization of data.
All material comes from different channels. Data is collected through the website, through specific campaigns, through the company’s internal system, in physical stores, on social networks — each with its own particularities. That is, they come from everywhere. It’s like a storm of information, with a lot of wind.
The problem with not identifying where they come from is the inability to analyze them properly. For example, a digital campaign may be making more people visit an establishment, but it’s not making that much of a difference in e-commerce. If the only link of this campaign’s data is with the online store, the results can look bad when, in fact, the investment paid off in another way.
Therefore, centralization is essential to allow a good visualization. From there, it is possible to make correct decisions, based on the actual data received.
But, of course, there are other points to be improved for companies to rise to the next level. The data-related strategy must be efficient from start to finish: collection, treatment and storage, and analysis. This requires technology, good professionals, experience and willingness, as it is a long-term journey and not an immediate resolution.
The good thing is that businesses want to get ahead and stand out from their competitors. In the same survey mentioned above, Brazil reached 23% of companies in the Data Champions range, the highest in the study. The overall number was 12%. We are advancing with great strides; just don’t stop.
Luiz Fernando Ruocco is Partner and Operations Director at full digital agency ROCKY, Market Coordinator at the ITI MBA at the Federal University of São Carlos (UFScar) and business mentor at Liga Ventures