The consultants Mckinsey highlight the four ways Big Data can generate value for any industry:
- First, Big Data generates value by making information transparent and relatively easy to use.
- Second, by creating and storing more transactional data in a digital form, organizations can gather more accurate and detailed information –from inventories to days taken off work–, thus improving performance. In fact, several companies use the data collected and analyzed to carry out controlled experiments that lead to improved business decisions.
- In third place, Big Data helps improve market and customer segmentation, enabling the creation of products and services that are more closely aligned with their respective targets.
- In fourth place, a reflexive analysis on data can be invaluable for making the right decisions.
A report on Big Data by Mongo DB also includes some other uses:
- The creation of new applications thanks to information management. For example, data management allows companies working in retail sales to optimize the customer experience and the use of resources.
- Data can also offer new sources of competitive advantage by helping companies adapt to change more quickly than their competitors. The customer relationship is enhanced through greater knowledge of the consumers, which enables them to respond more effectively to their demands.
The use of Big Data in various specific sectors
Big Data has benefited different industries in a range of ways, although there are still endless possibilities to explore. When Big Data is combined with the Internet of Things (loT), it undoubtedly opens up a wide array of opportunities for decision-making.
Below are several examples of sectors in which Big Data can contribute by generating value:
In the area of education, Big Data analysis can:
- Identify students at risk
- Monitor the correct development of each student
- Implement a more satisfactory system of assessment and support
In the healthcare sector, the effective management of data allows the analysis and discovery of new options for improving patient care.
In the retail sector, companies can collect a range of information on their customers to come up with effective ways of managing transactions or improving customer relations and ensuring user satisfaction, among other benefits.
The banking sector is currently looking for new and innovative ways to manage the vast amount of information, while seeking to minimize risk and fraud.
In one hour, 60 million transactions take place on two billion cards in 220 countries and territories through 40 million businesses
Banks possess very valuable data on user behavior. Payment cards and bank accounts provide a wide array of data on consumers and businesses. BBVA's APIs offer you access to this anonymous information so you can draw conclusions to benefit your business.
Big Data can also improve our daily lives
Although Big Data offers substantial utilities for corporations, there are also benefits for medium-sized and small companies. It is not necessary to hire large groups of experts, as many companies offer customized data analysis services.
Leaving aside the business world, the management of large volumes of data is not only useful for companies, but brings a new perspective for understanding and resolving the problems of society, the environment, natural disasters and urban planning, among others.
- Predicting and rationalizing energy consumption: smart meters record consumption data and obtain precise energy information –consumption by washing machines, lights, computers, cellphones, televisions– that can be analyzed to anticipate the energy needs of a company or home.
- Designing smarter cars by analyzing drivers' behavior or providing solutions to traffic or parking problems thanks to the vehicle navigation data and our own information, to offer better routes in real time.
- Urban planning in towns and cities to make them more sustainable: there are large quantities of data that can help councils achieve this; for example, data on the consumption habits of a population geolocated in a certain place.
- Studying the resilience of populations to natural disasters and analyzing the data on their financial transactions can help a place bounce back faster after an adverse event.
- Big Data against climate change: BBVA Data & Analytics, BBVA's center of excellence for the analysis of financial data, has taken part in Data for Climate Action, a Big Data initiative organized by UN Global Pulse. This first-ever open-innovation project will channel large volumes of data and their analysis by the private sector as part of the fight against climate change.
Sign up to the BBVAOPEN4U newsletter and receive tips, tools and the most innovative events directly in your inbox.