In this dynamically changing environment, technology is progressing substantially. The internet of things (IoT) devices that we see around us in smart devices and industrial machinery are making our lives more comfortable and efficient. Regardless, there is one other factor that is linked together with the IoT- and that is data. Data acts as an integral role in the internet of things. Data produced and consumed are growing at a much faster pace than ever before. It is said that by the year 2025, the data volume in IoT is estimated to be a whopping 79.4 zettabytes and as for connected IoT devices, it is approximated that there will be an astonishing 27 billion IoT connections.
The data developed from IoT devices happen to be significant only if it gets subjected to analysis. This is where data analytics becomes evident. Now, let’s dive deeper into what data analytics is, its benefits, and how it plays its part in the IoT.
What is Data Analytics?
If you’re rather acquainted with IoT-connected devices, you comprehend the fact and relevance highly depends on the data they manage to obtain. Nevertheless, when it comes to the end-user, it’s not just the raw data that they locate value in but instead, the interpretation of the data accumulated and that is- data analytics. Data analytics is defined as the method by which raw data is converted into significant information that will enable a user to mark meaningful insights required to make decisions to drive forward. It conveys vital information to the forefront to deliver metrics on the user’s end, that can be easily apprehended.
What makes an IoT solution desirable to the customer is its ability to present data in a digestible and meaningful way. Data analytics delivers users with the capability to efficiently pick up on trends within the data gathered by their device. The insight delivered by the data analysis guarantees a user is nicely provided with the details required to create adequate business product decisions with certainty.
Benefits of Data Analytics
Today, businesses collect almost every data of a customer’s journey. This information might include the customer’s social media interactions, mobile app usage, digital clicks, etc, all completely unique to its owner. Data analytics drive positive outcomes for their businesses and their customers. When we take a look at the benefits/advantages data analytics provides for businesses, there are quite a few.
● Proactivity and Anticipation Needs-
Organizations are under competitive pressure to not only gain customers but also try to comprehend client needs to amend their customer experience. Customers expect companies to know better of them, by sharing their data and permitting relaxed privacy in its use. Thus, companies need to get hold of multiple customer identifiers such as their cell phone, email, to generate a unique customer ID. Thus, data analytics delivers the proactivity and anticipation needs of a company.
● Providing Relevant Products-
Products are the largest investment companies make. It is also considered as the lifeblood of any organization because it’s one of the factors that drive them forward. This task is usually handled by the product management team. They recognize new trends that act as a strategic roadmap for the latest innovation and services. Effective data collection from 3rd party sources combined with analytics helps companies stay competitive.
● Personalization and Service-
This is another major benefit of data analytics in a business. Today, companies still struggle with structured data of customers. Through advanced analytics, they are enabled to react in real-time and make customers feel personally appreciated. With the help of big data, it opens up the opportunity for meaningful interactions based on the personality of the customer and helps to provide a good service environment.
● Optimizing and Enhancing Customer Experience-
We all know that poor management of products will lead to a lot of cost issues. It also results in damaging customer experience and most importantly, brand loyalty. Using analytics for planning and controlling business processes in the exposition of goods or services guarantees capability and significance to satisfy customer expectations and accomplish operational efficiency.
What is the Part of Data Analytics in IoT?
Data Analytics has a significant role on the internet of things (IoT). It deeply affects the growth and success of IoT applications, as well as investments. Analytics software allows organizations to make meaning of the IoT data in a more effective manner.
As the amount of data being delivered increases, analytics will be more applicable to businesses in a more enhanced way. Today, as new innovations are on the rise, businesses might have the need to invest in state-of-the-art analytics software to analyze and store the data. It is absolutely clear that it is nearly impossible for a data scientist to develop required insights from IoT data without the help of analytics tools.
Data volume isn’t the only cause that businesses are using data analytics in increasing numbers. To analyze a variety of information, the IoT promises to deliver data in a wide range of different types and formats. It also presents as a challenge to anyone desiring to interpret this information. IoT has no standardized technology protocol nor a precise industry leader, as per a relatively new phenomenon. Older analytics tools that depend on SQL databases will require to be substituted by renewed tools that are qualified for processing the various datasets being created.
● Driving Revenue-
Driving revenue is one of the first things that a company looks for when it comes to implementing new technology, along with effective business growth. With IoT and analytics working together, it allows businesses to create a more detailed insight about their clients. Furthermore, leading them to a substantial increase in sales and revenue.
● Excellent Endurance-
Businesses implement analytics for greater insights. This is because, with the help of IoT, the stakes have never been higher. Analytics has already been utilized in industries like finance and retail. But the Internet of Things broadens its range into other areas, for example, healthcare.
At present, technology is booming. IoT devices are on the rise at a rapid pace. Soon enough, the world we know would be truly digitized. Many advanced IoT services are on the rise, as companies try to stay one step ahead of their competitors and provide the best service for their clients. Merging data analytics with IoT has contributed to being one of the best advancements in modern technology.