Today many of the new emerging industries are already using and benefiting from implementing analytics in their organizations. Even the laggard companies we thought that would not change their structure have implemented analytics. In this article we will be going over the industries who benefits the most from using analytics to enhance their decision making process.
In order to get the best use of analytics, you should have clear purpose and goal on the aspect that you want to improve. Best way to do that is to pick a metric and then analyze the behaviours of your users and then try to work on improving that metric which is associated with your goals. You can read about North Star metric here.
Banking sector is one of the most important sectors along with healthcare. Commercial banks are the bricks and stones of the economy, and people rely on them to store their hard earned money, get new loans and much more. It is no surprise that banks are the ones that benefit most from using analytics. Commercial banks utilize analytics to prevent fraudulent activities. The in-house Data team can define the characteristics of the fraudulent behaviours, and once this is done, predictive analytics can detect the behaviours associated with fraudulent activity and interfere before any harm is done.
Other than commercial banks, institutions who are dealing with security exchange also use predictive analytics to monitor trading activities to make sure that there is no illegal trading.
Retail is an industry where customer behaviour and habits are crucial to understand. To do that, detailed analysis is required on customer data. This can be done by storing your customer data and then conducting deep analysis on it. It is important for stores to keep track of how many people are visiting each day, how many of the visitors are leaving the store with a purchase and what percent of their customers are completing the transaction after adding an item to the basket ( this is for online stores). Armed with all these information, managers can have a better understanding on their customers and use this intel to create a better shopping environment for their customers.
Check out more about the Retention Analysis.
Who does not praise the person who created the navigation when it takes you out from the traffic by making you drive from the shortcut that you had no idea it existed. Transportation companies are using analytics to make things smoother for their customers, by using analytics they are finding the best ways for their passengers to have a smooth ride. Ride sharing companies are using analytics to make their pricing, as we all know when you request a cab during the peak hour or when the demand is high, you will be paying a lot more. All of these features are made possible by the use of analytics.
Data teams in manufacturing sector, especially in the electromechanical engineering sector utilize analytics to make it serve to them as a reliability mechanism. This allows them to measure the odds of system failure, also they forecast on the time left before the machines need a replacement or maintenance. With this they prevent machines from breaking down completely and causing a short-term shut down.
Due to its cyclical nature manufacturing companies need to forecast their output levels in each of the business cycle. So that they can meet the demand and have required amount of supplies ready. They should also have a very flexible labor. All of these could be forecasted based on the historical data and using predictive analytics.
We all use social media don't we? They all use analytics as well. Social media is an industry which is heavily dependent on user behaviours and patterns. Companies rely heavily on analytics to get insight on their users so they can develop their platform better. Just like in gaming, retention is a KPI in social media platforms as well, product and marketing teams use retention to grasp how addictive their apps become to their users after their initial use. If retention is decreasing, product teams start to develop new features to keep their customers coming back and use their platform.
From our experiences we think, newly emerging industries are benefiting more from the use of analytics, If we missed any industry that you think is benefiting most from analytics, please feel free to comment.