Off lately the demand for Big Data has accelerated in the market, this blog will give you an insight about Big Data.
What is Big Data?
Big data is the next generation of data warehousing and business analytics.
Big Data is an act of collecting large data sets from traditional and digital sources to identify trends and patterns. That information is used by companies to improve what they know about customers’ wants and needs. The goal should be to make solid decisions based on data, and not just assumptions.
People are increasingly willing to hand over their personal data in return for products and services that make their lives easier. What does that mean for you, the source of the data? Well, think of it as a trade.
For example, Sameer tweets about a store he recently visited. The store could mine data from his tweet and thousands of others to figure where its customers are, and what they’re saying about its products. Maybe the store decides to open a new location way across the city because social media shows the demand there is increasing.
Tweets and Facebook posts are a bit harder to analyze than structured data like store receipts or web traffic. Unstructured text or images require special software to extract their meaning. And since the volume of unstructured data is so large, many businesses need to use special hardware just to organize and understand it.
Companies that are on their game use both structured and unstructured data flow to build up their customer insights each step of the way. Data driven marketing is what it’s all about these days, and every organization should know the three V’s of analysis if they want to succeed: Volume (the amount of data), velocity (the speed at which data is generated), and variety (the kind of data available).
The more data business analyses, the more it can make the experience better for the customer. For a typical company, just a 10% increase in data accessibility will bring in more than 3600 Million INR additional net income.
So, should Sameer worry that his information is being passed around between large corporations? Maybe. It’s not exactly a regulated practice, but in this day and age it’s nearly impossible to avoid. And data collection is not going anywhere.
By the year 2020, about 1.7 megabytes of new information will be created every second by every human being on the planet.
Even the White House has already invested more than $200 million in big data projects. But just because information is collected doesn’t mean it will necessarily be used. In fact, only 0.5% of all aggregated data is ever analyzed.
There are steps Sameer can take to limit the amount of accessible data. He can read the terms and conditions before installing apps, some of them ask to access phone contacts, GPS locations, even the mic recorder. Limit geotags on social media, and be aware that anything you type into a search engine will be documented, even in private browsing.
Big Data is the ultimate business tool of the future, and it wouldn’t be possible without consumers.
To understand Big Data use in Real life, please read the next Blog (Applications in Big Data).