As more companies look to invest in efforts to mine their vast stores of customer data, leaders may find themselves debating whether these initiatives will pay off. Especially for smaller firms, knowing whether embarking on big data analytics projects will be worthwhile is important: After all, it costs a significant amount of money to store the necessary information and harness it for insight. Firms may be able to incorporate these initiatives in their IT budgets with the help of remote database experts, who can ensure value is truly being gained.
Costs and benefits
GigaOM reported that at the recent GigaOM Structure conference, Warner Music Group SVP Dave McCrory raised the question of whether big data analysis is worth the expense for organizations. McCrory noted that problems can often arise in these projects because many times, only small bits of actionable information are gleaned. This doesn't mean these insights aren't useful, and in fact, he noted that they can be extremely valuable to the business. However, because it takes up so many resources to engage in big data analytics, from collecting data to storing it to making calculations, enterprises must be careful to examine why they're interested in big data and what they stand to gain.
"I've come across several people that are collecting data just to collect because at some point in the future they might be able to get some valuable information out of it," McCrory said, according to GigaOM. "The question is, is it worth doing that? Is it worth keeping that data and for how long? … You can't just store your data forever. It's not free to do, and it's a compounding problem."
This doesn't mean that big data projects doesn't fuel strong results, as many firms are finding that it gives them a competitive edge. MarketingProfs cited a survey by IT company Wipro, which discovered that while 57.6 percent of organizations see big data as a challenge, 50 percent say it has helped them better meet consumer demand and support growth.
No enterprise has to go it alone when leveraging big data analytics. When remote database experts are harnessed alongside advanced technologies, the chance that mining massive caches of information will be productive only rise.
RDX's business intelligence and big data experts assist customers in leveraging data contained in large data stores. For more information, please visit our Business Intelligence and Predictive Analytics pages or contact us.