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Consumers generate a huge amount of data about their habits, preferences, and experiences that businesses can analyze to improve their products and services to match the demands of their customers. Selecting the right analytics tool to gather and analyze the data is an essential step to achieving the business objectives for higher engagement, greater sales, and more efficient operations.
Start by deciding what data types you’d like to integrate and how you plan to accomplish this. Some tools are made to provide traditional enterprise reporting, whereas others are designed to help you conduct advanced mathematical analyses or track sensitive data like health data. It is also important to consider what analytics tools you’re looking at can be integrated into your existing workflow systems and data architecture.
Certain tools provide an iterative experience for data scientists and advanced users, while others are specifically designed to enable non-technical or novice users to perform point-and-click analysis. It is also important to be aware of the data visualization capabilities and features provided by each tool. Some tools are specifically designed to create visual charts while others require SQL or third-party applications to create models of the data prior to it being able to be analyzed.
Once you’ve narrowed down your options, pay attention to the cost and whether the platform is cloud-based or based on software licenses and subscription fees. Some tools are free while others require an upfront investment as well as regular maintenance charges. Be sure to compare these costs against the potential benefits from the insights and efficiencies generated by the analytics tool.
