Your business tools produce reams of valuable data, but how well do you use it? Getting more from your data could transform your business. Let’s find out more.
Your company keeps massive amounts of data, created by your tech solutions and stored in the cloud. Amongst this data will be pieces of information that could make a dramatic difference to your business. You just have to find it and use it in the right way.
When you make use of your business data, you create significant benefits, including:
- Better decision making
- Business efficiency
- Transparency at all levels of the company
However, data can be overwhelming and it’s hard to know where to start. In this article, we’ll introduce you to data analytics and how it can impact performance in the insurtech sector. Let’s get started.
4 ways to analyse data
The amount of data swimming around in your business is far too large just to dive in and start trying to find information. You need to take your raw data and segment it to discover useable patterns. Here are four ways to do this:
- Visualisation - The simplest way to clarify data is to express it visually. For example, you can incorporate vast amounts of data into a graph or pie chart and it’s easy to understand what’s happening and identify patterns
- Text analysis - When you have large amounts of written data, you can use tech to recognise patterns
- Data mining - Data mining uses algorithmic technology to run through large amounts of numerical data quickly to discover correlations. For example, in the insurance industry, data mining techniques are often used to detect fraud
- Business intelligence (BI) - BI technology manipulates data (often incorporating the three techniques above) to discover patterns specific to making a business run more efficiently. For example, automated lead-generation tools
Use cases
So far everything we’ve discussed so far has been quite theoretical. Let’s bring it to life and talk about how data analytics can benefit insurtech businesses.
Firstly, you can use data to boost your marketing. You’re probably running several marketing channels simultaneously to generate leads and move them through your sales funnel to become customers. But how well do you know what works? Use the data from your marketing tools to understand what types of content work best with different demographics. What do your customers want to see on social media? When you know this kind of information, you can double down on success.
Next, let’s look at what you offer your customers. In insurance technology, you have reams of valuable customer data. You know exactly who buys your insurance products, including their age, location, social demographics etc. Given that it’s easier and cheaper to sell to an existing customer than to win a new one, you could use your customer data to inform the development of new products that appeal to your largest groups of customers.
Finally, you can use data to streamline operations in your own company. It’s likely there are many internal processes you’d like to improve, but how do you know where to start? Data analytics can show you what improvements you should prioritise. For example, your call centre data might tell you that your customer service operatives are spending too much time doing data entry and not enough time with customers, which could lead to you investing in an automated data entry solution.
Get into your data
These are just a few examples of how you can use data to benefit your business. It starts with developing a strategy to collect, collate and analyse data. It ends with business success.