Data is everywhere today. From customers’ online browsing activities to electronic payments, everything leaves a trail of data. And if you mine this data effectively, you can turn it into business intelligence (BI) and gain an advantage over your competitors.
As a business leader, you want to use data to your advantage. But is your organization equipped to derive insights from new and historical data? Data volumes increase exponentially every year and analytics technologies keep evolving with them. To make the most of your data, you should be aware of the latest trends and tech in the business analytics space.
In this article, we look at five business analytics predictions for 2025 and beyond. These predictions will help you prepare for the future of business analytics and stay agile. We also discuss how the right business intelligence platform and services can make the transition easier for your business.
Most software applications are moving to the cloud, and BI tools are no exception. According to a market research report, increasing demand for cloud-based solutions among small and midsize businesses (SMBs) is driving the BI market growth. SMBs prefer cloud-based tools because of the pay-per-use or pay-as-you-go option, which allows them to scale their data management and data analysis efforts as needed.
Cloud-based tools account for a large share of the total analytics software market. The cloud-based analytics market is expected to be valued at $65.4 billion by 2025, up from $23.2 billion in 2020. Low costs, hassle-free implementation, and ease of access are the key factors driving the growth of this market segment.
With a cloud-based BI tool, you have all the elements needed for data analysis, including data sources, data models, computing power, data storage, and analytic models, available in the cloud and at a lower cost compared to traditional on-premise BI platforms. Even small businesses that were previously hesitant to implement advanced BI solutions because of high costs and complex IT requirements, can sign up for these cost-effective, self-service cloud-based BI tools.
If you’re a small business just starting to build your BI capabilities, invest in a cloud-based business analytics tool to save costs and scale your needs easily. But if you’re looking to upgrade your BI capabilities, cloud versions of advanced analytics tools from leading BI software vendors are available. Opt for advanced features such as predictive analysis, prescriptive analytics, embedded analytics, and statistical analysis.
Data governance lies at the heart of business analytics. It refers to a set of formal practices and processes that ensure your business data is of uniform quality, is available to users when needed, and is protected and not tampered with.
The data governance market is expected to reach $5.7 billion by 2025, up from $2.1 billion in 2020. Rising regulatory and compliance requirements, higher collaboration among business teams, and increase in big data (unstructured data) are some factors driving the market growth.
By 2025, the total global data storage is forecasted to reach 200 zettabytes. With data volumes growing at such staggering rates, it becomes important for business owners like you to ensure proper data governance. Without efficient data governance mechanisms, your BI efforts are highly unlikely to bear fruit.
Running analytics models on poorly governed data won’t get you optimal results. Implement processes and systems to track the creation, storage, maintenance, and disposal of all business data. Use data governance software solutions to automate the processes involved in setting up and managing data frameworks.
Data analytics is no longer a prerogative of IT teams or data scientists. Business leaders and executives can now use self-service BI tools to generate the insight they need from various types of data, such as sales and inventory data. Self-service solutions help save time as well as build a data-driven culture in your organization.
The self-service BI market is expected to be valued at $14.19 billion by 2026, up from $4.73 in 2018. Ease of use, increasing data volumes, and the need for data insights at every business level are the factors fueling the demand for self-service BI tools.
Self-service BI software can be used in all aspects of data analysis, including querying, visualization, and reporting. The availability of many free self-service BI tools has made every employee a data scientist, producing much more actionable insights than dedicated business analytics professionals or IT teams.
Consider investing in self-service BI tools that are easy to learn and offer a range of data cleansing, data visualization, and reporting features. Also, encourage the use of self-service tools across your firm to help build a culture of making data-driven business decisions.
These days, voice assistants are everywhere—be it Siri, Alexa, Cortana, or Google Assistant. Voice interactions have become a critical source of data for marketers and businesses, as the majority of online searches are done via voice commands.
The global speech analytics market is expected to reach $3.8 billion by 2025 from $1.5 billion in 2020. Increasing use of voice assistants to complete tasks such as web browsing, shopping, and customer service is driving the market growth.
Speech inputs from voice assistants combined with other datasets such as buyer profiles can provide valuable insights into your customers' state of mind, choices, and preferences. You can use this information to tailor your product and marketing strategies to fulfill customers’ unrealized needs. Speech analytics tools also help you predict customers’ intent and service reps’ performance.
Invest in speech analytics tools only if your business has a sizable volume of voice data. Prioritize the following speech analytics features: indexing, querying, emotion detection, data visualization, and reporting. Choose a software solution that lets you analyze all forms of audio data—VoIP, digital telephony, analog, etc.
AI-equipped business intelligence tools can automatically analyze data from multiple sources to identify hidden trends. They can also automate the data cleaning and report generation processes. Aided by natural language processing (NLP), AI-powered BI systems make your data easy to understand, reduce the time needed to process large volumes of unstructured data, and generate more accurate business insights.
According to Gartner, by the end of 2024, 75% of enterprises will shift from testing AI to fully implementing and using it for data analysis, resulting in a five-time increase in data and analytics infrastructure. The rise of the internet of things (IoT) and other edge devices is also increasing the demand for AI-powered analytics tools for faster automatic computations.
AI-powered systems for data analytics will help you self-solve the most complex problems instead of hiring the services of data science experts. You’ll be able to generate more accurate forecasts, so your business can better prepare to meet market changes.
If you’re planning to upgrade your BI investment, look for software options that support machine learning, NLP, and AI technology. As the volume of your business data increases, these functions will become necessary to support your data discovery and analysis operations.
Here are some tips to help plan your business analytics strategy to meet future needs:
Build a culture of data-driven decision-making: If you haven’t taken data seriously yet, it's high time you did. Encourage your employees to utilize the data tools your business subscribes to. Also, make them aware of the need to ensure data confidentiality, integrity, and availability.
Train your employees on data analysis: Following their gut may be easier than analyzing data for many of your employees. But it may not yield the right results every time. Train your employees to think data-first. Run training sessions to make them well-versed in using analytics tools and churning out insights.
Choose the right BI tools and frameworks: Not every BI tool will work well for your business. You may also not want many bells and whistles if you’re investing in a BI platform for the first time. Select a solution that’s easy to use and tailored for your industry. Consult with your IT team and line managers to decide if a cloud-based or an on-premise solution would be better for your needs. Also, don’t forget to check for customization and integration options.