Many business owners make decisions based on what they think they know about how their business is performing or how their customers are behaving. In many cases, they rely largely on their experience and intuition to do this. This is all well and good but whilst they may think they know exactly what is happening, the data may tell a different story. And, as importantly, it may give them insights they hadn’t even considered.
Intuition has a place in business without a doubt, but many human behavioural tests developed over the years prove that intuition can be flawed.
Try the following simple test. Do not try and solve the puzzle, just go with the first answer that your intuition gives you and write it down.
A bat and ball cost £1.10. The bat costs one pound more than the ball. How much does the ball cost?
We’ll tell you the answer most people give at the end of our white paper, referred to below.
In your business, you may have data coming in from various sources but are you collecting the right data? Even if you are, are you using it in the right way? If the answer to either of these questions is not a resounding ‘yes’, you are operating with one arm behind your back.
Data analytics can help you gain a deeper understanding of your businesses and key elements of it such as your target audience and businesses processes. It can also uncover trends you may not be aware of and can assist you to predict your business’s future performance.
You can also use it to improve staff recruitment and retention, enhance marketing campaigns and unlock connections in data sets that might otherwise have been virtually impossible to discover.
Whilst intuition undoubtedly has a place in decision making, it should be used alongside accurate, properly analysed data.
If you want to try more tests, you can find them here.
You can read about how data analytics can help transform a retail business by downloading our white paper.