Experian has conducted new research to identify what strategic decisions Businesses are currently focusing on. The results may interest you.
Experian’s Review found that Businesses are shaping their strategies around: Data and analytics; customer insight and customer experience; fraud and risk reduction; and regulation and competition.
78% of organisations are making investments in advanced analytics to future-proof their businesses, while 76% are putting money in to big data technology. Fraud is also influencing businesses, with 71% admitting their current methods mean genuine customers are being turned away.
1. Data and analytics
Less than 33% of businesses say they can effectively use analytics to extract insight from data, whilst 40% of businesses still rely on instinct and subjective opinion to make their decisions. The positive news is that Businesses are responding by making the enhancement of their analytical capability a priority (71%) and increasing their budgets for analytics (78%).
Investments in advanced analytics are being made by 78% of organisations, while 76% are putting money into big data technology.
2. Customer insight and customer experience
Many companies struggle to tell one customer from another and offer the same experience to all, regardless of needs, desires, or consumer patterns. 77% of businesses view better customer insight as a high or critical priority, but only 23% personalise their marketing.
65% of organisations acknowledge the need to improve their consumer insight and just 19% can currently amalgamate all data to plot the best customer experience. A further 63% lack a single customer view.
3. Fraud and risk reduction
Fraud is an obstacle for growth-hungry businesses, and many legitimate customers who wish to use their products or services have met barriers. 57% of businesses say fraud is the number one inhibitor to their success, while 39% say they have incurred increased costs due to fraud, particularly due to online threats.
71% of organisations use security methods which err on the side of suspicion*, instead of trust, so decline more transactions than is probably necessary. 75% are interested in more advanced security measures and authentication processes which have little or no impact on the customer experience*.
4. Regulation and competition
The changing business environment is weighing heavily on businesses and how they make strategic decisions. Increasing competition was cited by 93% of organisations as a barrier to accomplishing their business priorities.
Often it is new entrants to the market which are creating headaches in the boardroom. 33% are experiencing non-traditional competitors entering their markets.
Tom Blacksell, Managing Director of B2B at Experian, said: “The rapid development of technology has provided countless opportunities for businesses, and now many are refining their strategies for further growth. Organisations are aware they have valuable data at their disposal, yet often lack the analytical skills required to extract its value.”
“Our report also found that companies face challenges in identifying and protecting their customers from fraud. In many cases, they lack the technology to confidently identify fraudsters, so turn away genuine customers. Companies must invest in innovation and analytics, so they can deliver the best outcomes for their customers.”
Do you agree with these findings?
Do you want to look at methods to maximise your Business data and analytics, including call recording data, more effectively?