How Real-Time Analytics Is Being Used To Turn Data Into Revenue

Generalised promotions have become a thing of the past. People have become adapted to extremely personalized servicing from most world-dominating brands, across a variety of sectors, such as food and media that promotions with generalized advertisements just doesn’t work anymore. The culprit behind this shift is the real-time analytics and personalizing technology that has been growing in prominence among most popular companies for its ability to analyze in-depth details of their audience’s patterns, timing, consumption preferences, and more.

It's not just the streaming platforms that have adopted this technology to fill their users’ feeds with movies and shows that are based on their personalized interests, clothing brands also offer personalized experiences with feeds showing products based on the users’ buying history, and a popular mobile casino of the current times will offer you lists of casino games based on your interests and previous gaming patterns.

Research done by Hubspot revealed that 78% of customers expect personalization in the services they spend their time and money on. But only 47% of business leaders have claimed that they have integrated their businesses with personalization technologies. With the audience demanding more personalized experiences, it is high time that businesses too focus on upgrading their virtual platforms, so that they can sustain along with the demands of their audience that keep evolving as such technological developments keep making sweeping changes across a variety of domains.

Consumers today want to feel like their favourite brands understand their needs and likes, and with business platforms being more accessible, users have become more specific with their demands and are prioritizing brands that make their experiences on the platforms worth the time and money they spend.

Statistics reveal that using such real-time analytics and personalization technologies have helped brands develop a stronger audience base and see more revisiting rates. Users come back for more experiences that satisfy their very specific, personal interests, allowing businesses to build a loyal consumer base and increase their conversion rate. This technology has infiltrated a variety of sectors, such as airlines, automobile companies, hospitality businesses, media brands, food businesses, and many more, and almost all businesses that have invested on personalization technologies has only seen a growth in their user base and retention and revisiting rates, which in turn has resulted in an increase in the revenue they generate.

The working of these personalization tools is complex. It collects trillions of bytes of data that gives the system an idea about the user’s preferences. It goes through a variety of aspects, such as the consumer’s usage history, search requests, ratings, media consumptions, and more. All these aspects are analysed thoroughly and a perfect profile is created that offers recommendations that cover the preferences and interests of the user.

The most sophisticated algorithms used by popular streaming services for these purposes are collaborative filtering and content-based filtering.

Collaborative filtering analyses the preferences and usage histories of other consumers that have similar tastes as that of the user and offers similar recommendations, whereas, content-based filtering analyses the content  the user consumes and understands the genre, actors, and language that recur most times. These algorithms are then improved by machine learning. With every action of the user, the AI tool records and offers recommendations accordingly. The thumbnails are not left out, a user who likes a certain genre is offered suggestions with thumbnails that they are going to find interesting. To put it simply, user engagement can be enhanced by investing in high-quality AI tools that do predictive analysis. It will predict what the user may like and reduce the time they spend searching and improving satisfaction. AI tools are developing at a rapid pace. The personalization tools will be able to offer recommendations based on the user’s mood and real-time habits.

The conclusion is very clear, businesses that make use of CRM, AI, and customer data platforms, are seeing dramatic, positive shifts in results. Their marketing has become more of personal conversations with each consumer. By optimizing consumer experiences with real-time data and automation, these businesses are known to offer its audience an experience that is crafted specifically for them, which satisfies all their needs, and in turn results in increased user retention rates.