What Is The Difference Between Business Intelligence And Analytics?
Benefits of business intelligence for your B2B eCommerce business Using business intelligence software instead of having to manually input. Business Intelligence (BI) is a combination of strategies and best-in-class technologies that provide the most important information about the. Why I am emphasizing your relationship with your business data is because If your eCommerce business is nurtured with intelligence, you may emerge as a.
The ability of BI to do variance and exception reporting allows the business managers to know where the problems are and to drill down further to establish the root cause of their problem.
They have existed for decades, though not in the fancy form that you find them in now with drill down feature for further analysis. Dashboards put all the diversified information together in one place. This allows Managers to have a global view of the state of their business. They can drill down on the areas of their interest or where they see the need for taking corrective action. Dashboards save substantial time by helping a manager know the state of the business at a glance.
Performance scoreboards provide measurement to the extent the objectives of the business were achieved. They highlight the areas requiring immediate action and monitoring. Further analysis of the scoreboards allows managers to identify the customer group, product line or the individual products and customers where the actual performance is lagging behind expectation.
Google Analytics The eCommerce tracking module of Google Analytics is a very powerful tool in the hand of eCommerce Managers to analyze the direction in which their business is heading. The data available to users includes total revenue, average order value, conversion rate, the number of unique purchases, the number of transactions, quantity sold and sales by product.
How much visibility do you have? The visibility that you have about your business largely depends on the eCommerce platform that you are using. Usually, basic custom eCommerce solutions do not only have limited reporting but also are not robust enough to adapt to the changing market realities.
How Business Intelligence boosts E-commerce Business - PC Solutions
X2x eCommerce uses Magento eCommerce as its front end. Magento comes bundled with tons of reports. There is a huge library of reports available from its strong eco system ofdevelopers and implementers. You do this to see how you can fix your errors and replicate your successes. It would identify that you kept possession of the ball for much longer than your opponents.
It would also identify the trend that your right side of the field was instrumental in retaining possession through excellent passing. Your right-side players had been putting in more time on the field together then your left side?
One of your players on the right was simply having a phenomenal performance which carried over to the rest of that side?
How Business Intelligence boosts E-commerce Business?
These questions are important. They allow you to figure out how you can replicate your success, or prevent your failure in the future. While using a business dashboardall the insights can be simplified into a single place, making the time for meaningful decisions much faster.
In order to do so, we need to examine the distinction between correlation and causation. Correlation Is Not Causation When two things are correlated, it means that when one happens, the other tends to happen at the same time.
How Business Intelligence Can Help Your eCommerce Business
When two things have a causal relationship, it means that one thing leads directly or indirectly to the other happening. Now, of course, ice cream does not cause people to murder each other. So clearly there is not a causal relationship. The two are correlated due to the fact that homicide rates rise when temperatures rise in the late summer.
It is theorized that since warmer weather brings more people outside, this leads to more social interaction, some of which is violent. For example, that muscular person at the gym who always likes to give you work out advice may or may not actually know what they are talking about.
Instead, they may simply have good genetics.
They may be muscular not because of their knowledge, but actually in spite of it. For example, divorce rates in Maine are very closely correlated with per capita consumption of margarine… Maybe married couples should switch to butter instead? Very large scale and expensive research trials are often done just to find evidence of causal relationships.
Also, a famous example would be the butterfly effect. It is of crucial importance to define and use KPI examples that will help to establish a business goal and execute the correlation and causation of business analytics vs business intelligence. While it may sound complicated at the beginning, the more you dig deeper with a data analysis toolthe more sense it will make to establish qualified insights and make better decisions.
That is all about: Using both into the process of creating a successful business intelligence strategywill only make a company more competitive on the market. Use-Case Scenarios Enough with the descriptions and metaphors.
- What Is The Difference Between Business Intelligence And Analytics?
- How Business Intelligence Can Help Your eCommerce Business
- How Business Intelligence Contributes to the eCommerce Business?
In order to understand what new products would be most likely to succeed analyticsyou would need to figure out: First, you would examine what categories of clothing are driving the most profits. Then, you can examine what times in the year those successful products had been launched. Finally, you could do a series of in-depth customer interviews in order to figure out why customers liked those pieces or categories more than the others.
This could lead to surprises in the way that you think about your products because your customers often have a very different way of looking at your products than you do.
BI and Analytics Dismantle Assumptions For example, maybe your assumption was that your customers mainly cared about the price point of your garments. After your research, however, you found your customers were actually willing to spend more on your products if you emphasized your humane sourcing practices, such as not utilizing sweatshops.
Then, your focus would be on continuing to use that positioning in your marketing messages as opposed to worrying about the price points of your garments so much when doing a product launch.
The above example illustrates one of the fundamental important points of business intelligence and analytics. Your assumptions about your company, your customers, your marketplace, and your products, are often flat out wrong — or at the very least, incomplete. What are my recruiting options? When you establish the right HR KPIs for your business, you need to dig deeper into the what happened and how BIand then why it happened BAto understand how to perform in the future. It can be used by a recruiting agency, or in-house — it is meant for HR managers and professionals that need more data and insight into their process, to define future decisions and decrease costs.