Data maturity drives increased revenues
Data-mature enterprises see a three times improvement in revenue along with shorter time to market, greater profit, improved operational efficiency and great customer loyalty, according to a new report.
The study from IDC and sponsored by analytics specialist Heap shows that how well a company uses data and employs it in its decision making can provide up to a 2.5 times average increase in business outcomes across the board.
Revenue is particularly influenced and 3.2 times greater for the most mature companies, who also saw 2.4 times greater profit and 2.4 times greater customer loyalty.
Data maturity shows itself in a number of ways, 98.4 percent of the most mature firms have a good to excellent understanding of customer journey friction points, while only 29 percent of the least mature firms reported they have a good to excellent understanding in this area. Also more than 84 percent of teams at mature organizations get answers in minutes or hours compared to only three percent of the less data mature companies.
While 76 percent of top teams have a single source truth for data this compares to only three percent of least mature organizations. Also over 80 percent of top performing teams have fully automated data validation, have clearly-defined policies on who can access the data, and have the ability to control data management.
"In today's challenging market, efficient growth drivers are more important than ever," says Ken Fine, CEO of Heap. "The Driving Digital Customer Experience Analytics white paper indicates that data-driven insight is a catalyst for business progress leading to profit and revenue increases, shorter time to market, better NPS scores and improved operational efficiency."
The report shows there's still room for improvement though, 73 percent of leading companies believe that they could do more with the data that is made available to them. Nearly 70 percent of all companies only use data to measure the success or failure on major initiatives, and 69 percent of companies say that decisions are often driven by the highest paid person without regard for data.
Interestingly, in less data-mature companies there's a high degree of false confidence, with these organizations relatively more satisfied with the data that is made available to them. Even lagging firms report some level of confidence in their data, 52 percent for traffic data, 70 percent for mobile or
web behavioral data, and 67 percent for server-side event data.
The full report is available from the Heap site.
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