November 28, 2021

Prepare your business for the future: how to get the right signals!

When Netflix spent $ 100 million to launch the US version of House of Cards in 2011, she expected success. Why ? Customer data showed that people who watched the UK version of the series also enjoyed David Fincher’s films. He was therefore responsible for the US version. The series elevated Netflix to a world leader almost overnight. It has become the most watched on the platform: 86% of subscribers said they were less likely to end their subscription after watching it.

Using data-driven insights to strategize in real time seemed original 10 years ago. Today, it is essential for brands wishing to optimize their return on investment. As the figures show: the average ROI of companies using business intelligence and data analysis is 1300%. A new strategic axis is therefore often necessary for this type of transformation.

At GfK, we are convinced: the recipe for shaping your company’s future combines instinct with AI-powered predictions. This winning duo results in more operational insights for decision-making. It allows you and your team to decode the future. It also gives you the confidence to react quickly to market volatility.

Limited offer. 2 months for 1 € without commitment

How business leaders can gain valuable insights to shape their strategy

Decision making is an art in itself. While using data to validate (or invalidate) assumptions is an essential part of any informed decision, intuition is often a good starting point for managers.

Prepare your business for the future

Prepare your business for the future

– (c) GFK

“We know our brand and our business, so we often start by following our instincts,” says Gonzalo Garcia Villanueva, CMO of GfK. However, instinct then needs to be confirmed by detailed customer data. human experience and data science to quickly obtain the key knowledge to decision-making. ”

While the association between instinct and data science may seem complex, the best place to start is to get back to basics. Start by understanding the main business issues. You’ll find them in the details of an annual operating plan, a particularly striking series of customer feedback, or even more general market trends. Then use AI to convert large amounts of relevant data into trends or anomalies.

Having actionable insights months ahead of manual research results allows organizations to quickly reveal important key metrics and make a big impact.

For example, before investing in a new point of sale, Starbucks analyzes local data, such as income levels and the age of residents, traffic in the neighborhood or even neighboring points of sale, offices or universities located nearby. This data is then used to create AI-based forecasting models and then determine the impact on potential revenue of the nearest Starbucks outlets. Instead of guessing at the perfect location, Starbucks executives make informed decisions based on hard data.

How to use data to prepare your business for the future

Companies that succeed in today’s difficult environment don’t settle for small adjustments – they make bold decisions. And the use of data reduces the associated risk. The right insight at the right time can reveal possibilities for change or expansion beyond traditional offerings.

Prepare your business for the future

Prepare your business for the future

– (c) GFK

Sharp used predictive analytics to test its hunch that users were printing less. Thus, the company has completely reoriented its activity. “Problems that arise at the customer level can sometimes serve as the basis for strategic change,” says Stuart Sykes, Managing Director of Sharp UK. “We wanted to understand at a granular level how we might be impacted compared to other brands.”

By confirming the decline in printing through data analytics, S.Sykes saw an opportunity for Sharp to tackle the outsourcing industry, now a core business for the company. “Sometimes companies feel like they have the data and metrics to make strategic decisions, but we’ve also used it to improve our service and customer performance,” he continues.

The data and forecasts necessary to adapt were lacking in many companies: they suffered the same fate as the dinosaurs. In Sharp’s case, this bold move boosted results: after 18 months of decline, the stock price has risen 33% in two years.

Take action

Actionable insights are useless if you don’t know when and how to use them.

Prepare your business for the future

Prepare your business for the future

– (c) GFK

Lindsay Herbert, author of Digital Transformation, advocates using Design Thinking and Agile methodologies to help companies apply this knowledge early in the process.

These two techniques help companies set the course to take with their insights. Design Thinking opts for an iterative approach to product design by creating rapid and economical prototypes to validate new ideas and make informed decisions about future investments. Likewise, the Agile methodology creates an MVP (minimum viable product), both “complete and testable” on a smaller scale.

These approaches can help cross-functional teams improve the way they work and continually test new strategies to identify real opportunities and make practical changes quickly.

By validating your instincts with data, making bold decisions, and using an agile iterative process, you can continue to stay ahead of market demand and anticipate changes. “The unexpected is only a problem when you cannot predict its approach speed and the order in which events are likely to occur,” adds Villanueva.

Discover new ways to use data and AI to prepare your business for the future with gfknewron, a single point of access to key insights about your brand, market and customer data, underpinned by AI forecasts and recommendations.

L’application L’Express

To follow the analysis and decryption wherever you are

Download the app

Download the app

Prepare your business for the future

Prepare your business for the future

– (c) GFK


Opinions

Chronic

France, Neuilly sur Seine, December 15, 2019, portrait of Pierre Assouline, French writer, journalist, radio columnist and biographerBy Pierre Assouline

Impasse

"Our Greens are more busy hating liberal universalist democracy than loving the planet."Nicolas bouzou

Chronic

As Gwenaëlle Avice-Huet reminds us, the Biden administration is betting that the private sector and funders will transform the economy.By Gwénaëlle Avice-Huet, Senior Vice President in charge of Schneider Electric’s strategy

Chronic

All in all, a year at Stanford costs around $ 100,000.Frédéric Filloux