As we head into 2013, I thought it would be appropriate to compile a list of Top 5 Opportunities & Challenges in Big Data/Analytics that B2C online businesses and enterprises should address. To build this list, I used the Top 10 business and technology priorities presented by two of the biggest market research firms – Gartner and IDC for 2013 as the backdrop.
So here we go…
|Transformational Force||Key Drivers||Big Data/ Analytics Opportunities||Big Data/Analytics Challenges|
|1||) Data Explosion||IDC predicts that all digital data created will reach 4 Zettabytes in 2013
Gartner says that Big Data is moving from small, individual, & focused projects to an enterprise-wide architecture. Also, Analytics is increasingly delivered to business users at the point of action and in context.
|Analyzing customer search and purchase patterns and identifying unique segments in real-time from huge data streams is a significant growth/revenue opportunity||Building meaningful customer behavioral models can be challenging as data about customer behavior is usually fragmented and so data sharing internally and externally must happen|
|2||) Mobility||Gartner predicts that mobile phones will overtake PCs as the most common web access device 2013
IDC projects sales of smart mobile devices (tablets, phones, etc.) will grow by 20%
|Analyzing mobile traffic, app usage and user experience will be key to developing innovative offerings & engagement – leading to higher margins||With still emerging app development technologies like HTML5, fragmented app solutions, and the fact that app stores are still not easy to use to find the “best” app(s) to get a “job” done are major challenges|
|3||) Cloud Computing||Gartner predicts that personal cloud will replace PC as the location for content.
IDC says that the number of public cloud services platforms will increase 10-fold by 2016 from less than 100 ion 2012.
|Analyzing cloud & content usage patterns by customers will be key to building innovative cloud based offerings – thus opening up new engagement opportunities||Cloud based offerings while rapidly growing must be closely tied to what “job” the customer must get done. The challenge will be ease of use and the ability to share content stored securely, safely while crisscrossing public and private clouds.|
|4||) Self-Service||IDC predicts that industry solutions will dramatically shift who the IT buyer is. Consumerization is a key driver.
This means that self-service applications will become ubiquitous and Business users will be making buying decisions on software applications to get their job done and rely less on centralized IT.
|So analyzing how users want to get their “job” done is an essential input to designing simple, easy to use and effective self-service offerings – leading to higher and even faster adoption.||Typically, most vendors want to focus on building a product that serves different users. The challenge is to build a core set of universal features while customizing the user experience for the individual user – a Big Data Analytics use case.|
|5||) Operationalizing Analytics||IDC says that about 60-70% of VC funding will be on the infrastructure and management layer of the Big Data Analytics Stack.||Those businesses that start adopting the Big Data Analytics stack early will have a significant advantage in their experience curve – leading to more enterprise-wide analytics usage. This will lead to competitive advantage in both short and long-term.||The biggest challenge will be to build a Data driven culture that will become a mandatory requirement for any business. The other challenge (for IT in particular) will be to keep up with the rapidly evolving suite of advanced tools to enable enterprise-wide analytics and collective insights.|