Collection of market data is very vital for a start or progression of any business. Regardless of the size of your business, integrating more technology will exponentially increase the amount of data collected. However, not every data available is essential or even meaningful. And, and as data collection increases, it will be challenging to analyze and process it without redundancy. To curb this, you need to adopt a well-structured data collection procedure. The key to ensure successful leverage on available data to improve your business lies on your mode of data collection. With an ideal system set in place, you will determine the type of data to collect and its importance. At this point, you will be able to improve your decision making as a result of effective analysis and interpretation of data. If you are looking on how to successfully implement data collection system, then you are in the right place, the following are four tips that will help you.
Prioritize Customer Interactions
The vital market data you will ever require is the customer related data. The initial stage is to set important customer interactions. For instance, if you are running an online shop, you will need to know the origin of your customers, items they are clicking on, items they frequently add to the cart and finally what they buy. After identifying the necessary interactions to trace, you can thereafter look for parameters and methods of data collection related to the interactions. This simplifies tracking of the most relevant data.
Consider Behavior-related Data
Apart from focusing on who have completed a purchase. You will need to think about the behavioral aspect that produces important data to your business.
As a continuation of the above online shop example, this data could include how many pages can customers browse looking at categories of certain products, the time they spend on site, and where they end their search. Collection and analysis of data in such manner can be a great factor, particularly when making a decision on which product is doing well and what requires to be worked on.
Set a Standard Frequency for Data collection and Analysis
This can prove to be the toughest one to achieve it right especially in a market with high rates of fluctuation or if you are running a business that is changing constantly. Your decision making will rely on when you think you will need the data. For instance, if you have a duty of submitting monthly sales report, it will be prudent to collect data on a weekly basis to have enough data and time to develop a full report at the course of the month.
Person receiving the report should also be a consideration, and the duration business deals and different campaigns will take place. The frequency for this varies depending on the nature of the business, so choose the one that can work best for business and systems.
The metrics and the parameters you apply when measuring the collected data matters a lot in business. This includes the various parameters you employ in defining failure or success of marketing plans, how you track business and sales initiatives. Be sure to spot which ones your business uses, as this will determine the relevancy of the data you will collect.
Identify the Sources of Data you are going to use
In many organizations, there are always redundancies with data collection. For instance, a content management system and Web analytics will frequently share same data points. An inventory system will has well have some same data points with a POS (point of sale). As a result of this, it will be necessary to know the kind of data each system will provide.
Subsequently, many organizations apply data from several systems for one key parameter. To ensure that you are always collecting the required data, it is a requirement to identify the sources and ensure that its compatibility with your data collection system is okay. If they aren’t, then you could possibly face problems and end up making wrong decisions due to incomplete data, which could adversely affect your business.