business growth – We hear a lot today that the world is drowning in data. The content you read, the videos you watch, the photos you post, and the products you buy are all data.

By 2020, new data generated per second per human being will reach 1.7 MB. With more than 7.7 billion people on Earth, the amount of new information is equivalent to more than 25,000 one-hour videos per second!

All our digital behaviors are recorded. But for many companies, this data is in the dashboard and database and is never used. The good news is that instead of allowing data to be destroyed, you can use it for your business growth strategy to make better decisions.

In this article, we will share everything about data-based decision making, how your business can use data to make decisions. This process involves a five-step process that you can use to make smarter decisions.

What is data-based decision-making?

Data-based decision-making means using data to drive business decisions, rather than sticking to the strategy you think is best.

In data-driven decision-making, often known as DDDM or information-based decision-making, you gather historical information to analyze trends and make decisions for the future based on what has worked in the past; Not based on instinctual feelings, opinions, or experiences.

How can you benefit from data-driven decision-making?

There are always risks in business, but data-driven decisions protect you against risky decisions.

For example, imagine that you are planning a market strategy for a SaaS company. Instead of starting from scratch and hoping that a new strategy will work, take a look at launching your previous product features. What did he answer? Repeat it. Do not implement anything that does not work.

Simply put, repeat the tasks that have already been answered and the tasks that did not lead to the desired results. All of this is determined by the data you gather to make more accurate business decisions.

Businesses that use Big Data saw an 8-10% increase in profits and a 10% decrease in overall costs.

If you are still not convinced, consider this fact:

While 91% of companies say data-based decision-making is important for their business growth, only 57% of companies said they make their decisions based on data.

Data-driven decision-making is a great way to gain a competitive advantage, increase profits and reduce costs!

For what career decisions can I use the data? – business growth

Now that you know how you can benefit from data-driven decision-making, the next step is to identify how your organization can use the data to make decisions about how your business will grow.

For example, you can use the data to find the following:

Finance: What is the most cost-effective way to hire new staff or the cheapest way to promote a new product?
Growth: What activities can you do to prevent reversal? How do you improve customer loyalty? Do the new features you are planning affect your business goals?
Marketing and sales: Which advertising channel gets the best ROI? Which sales activities are most profitable?
Customer Service: What is the most cost-effective way to manage support tickets? Which channels improve response time?

How to use data to make business decisions

Before analyzing your company dashboard, it is best to start with a practical plan that explains in detail how to find the data you need and, most importantly, interprets the data to make the right business decision.

Here is a five-step process you can use to get started with data-driven decisions:

1. Prioritize based on your goals

Every decision you make needs to start with the core goals of your business.

So, start by asking yourself this question: What goals do you want to improve?

For example, let’s say you want more people to become premium members of your top SaaS tool in Europe. In this case, gaining more registration is your main priority. But in the research phase, you may find that 75% of the premium share comes from Norway and less than 10% from the UK or Germany.

Therefore, the goal is to “increase premium subscriptions in the UK and Germany”. Once you have made your decision, you will need data to support it.

Conclusion of business growth

There is no doubt that data is a valuable tool for any SaaS business. In fact, companies that use data to make decisions reduce costs and increase profits.

If you can use the data to prove that your decisions have a positive impact on business growth, it’s time to analyze the data in CRM, customer service reports, sales dashboards, and Excel spreadsheets.

The next time you make a decision, make it based on the data you have. This can be a technique you need to drive growth, take on competitors and gain long-term and loyal customers.

Source: FindBestTricks.com

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