There is no doubt that data collection and analysis are essential to the success of every retail business. Customer data is incredibly valuable to all businesses regardless of size, location, and distribution channel. Insights from data analysis can reveal shopper patterns and trends, consumer sentiments, and are vital to the development of strategies for a competitive advantage.
However, just collecting data isn’t enough. Data must be accurate, cleaned, enriched, and optimized to be of good use. This process can be costly and involved, leading many retailers to choose to outsource their data service needs.
According to Grandview Research, the global data analytics outsourcing market is expected to grow at a CAGR exceeding 22.8% from 2018 to 2025 and was valued at USD 2,006 million in 2017. This data showcases that companies are more widely recognizing the benefits of choosing to partner with an outsourcing company for their data solutions needs rather than allocate the time, costs, and resources to develop their own systems. Here are five reasons why you should too.
Accurate data analysis – Retail data is only useful if it is correct. By outsourcing your data analytics needs, you can avoid costly mistakes. Data solution outsourcing providers are equipped with tools necessary to aggregate, validate, curate, analyze, interpret, and visualize data. They also have the expertise and skills to undertake data-driven solutions with accurate data analysis and relevant insights.
Retain focus on your business – Data is generated at an unprecedented rate. Outsourcing the most important stages of your data lifecycle allows you to focus on the day to day operations as well as strategic activities for growing your business rather than spending valuable time developing platforms to manage your data.
Access to talented professionals– Hiring professionals with the skill set and expertise needed to aggregate, clean, and analyze data is time-consuming and expensive. Partnering with a service provider will grant your business access to talented teams of experts with the experience tailored to your data project needs. Outsourcing means there is no need to spend resources for recruiting, training, and staff retention. You can instead use those valuable resources to focus on your organization’s strategic growth initiatives, customer service, and enhancing your brand reputation.
Flexibility and scalability – By choosing to outsource to a third party, your organization will have the scalability and flexibility to grow and manage increased demand without needing to allocate more resources and infrastructure.
Time and cost savings – Cost is typically one of the main reasons corporate executives choose to outsource their data needs. The time and money required to create and maintain data analytics solutions are usually more costly than partnering with a third party who already has the expertise, infrastructure, talent, and technology required.
Many businesses simply don’t have the capabilities to manage the immense amount of data generated effectively. Deciding to outsource your retail data services to Liberty Source will allow you to apply data insights seamlessly, support decision making, and give your business the competitive advantage needed in today’s marketplace.