Big Data -- A seemingly complex term with a simple explanation!
So what is it?
Put SIMPLY: It’s our ability to take MASSIVE amounts of data and derive a STORY from it.
Now, this is really cool because a few years ago -- all of this data was mostly gibberish
to us.
Now we can analyze this data, detect patterns & derive predictions.
But the entrance of distributed computing and parallel processing changed all of that!
Why does this matter?
Well, with Big Data you can predict your customers needs, pain points & future complaints.
The implications are HUGE.
And can increase profits tremendously!
In 2012 Hurricane Frances was on it’s way and everyone was preparing.
Walmart decided to be smart about it.
While most stores were stocking up with items like Flashlights, Walmart stacked its shelves
with -- strawberry poptarts.
Armed with terabytes of customer history data, Walmart was able wager that out of all it’s
items -- poptarts would be in most demand.
They increased their stockpiles by 7x --- and almost sold out!
Then we have Netflix -- who used Big Data to pretty much DESIGN the Success of the popular
show “House of Cards” . They used the massive amounts of data collected over the
years to guide the creative direction of the show.
So strong was their confidence in the shows success, that they signed off on TWO SEASONS
even before the pilot.
A100 Million Dollar vote of confidence.
So how does any of this matter for your venture?
Well Big NAMES aren’t the only ones capitalizing on BIG Data.
Smaller companies, with small budgets are also capitalizing on Big Data.
Targeted Facebook ads are an especially good example of this.
When it comes to ‘Personal’ information -- Facebook’s data collection is unmatched.
Facebook can predict what users will be interested in purchasing in the coming days, weeks & months.
How does it do this?
By collecting massive amounts of even the most MINUTE data -- like how long your cursor
hovers over a certain link.
And with with their most recent acquisition of Oculus -- Facebook will now be able to
track & record even how long your LOOK at a certain object!
This allows small businesses to cost-effectively target their audience with shocking accuracy!
No longer is it a drastic advantage to afford a Super Bowl ad placement.
Big Data is changing the landscape
of technology and business.