How Business Intelligence Can Help To Improve E-commerce Business?

By Author: Bappaditta Jana
Total Articles: 65
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More people are spending a large chunk of their time over the web. Blame this on the availability of affordable mobile devices or high internet penetration; people now want to do everything conveniently. E-commerce businesses let them do the same from the comfort of their home. However, the competition is fierce in the e-commerce world, and there is no way to sustain the business for long without leveraging the power of the latest technology. In such a scenario, business Intelligence has emerged as the right technology. It has successfully proved its ability to help entrepreneurs run their e-commerce business in a competitive environment. Let’s look at how all this happens.

Improves Decision Making

There is no doubt that when businesses rely on their intuition for making decisions, they suffer a substantial loss. Business intelligence tackles this problem by enabling them to make informed decisions by utilizing data, and when e-commerce businesses use the same, the result is smarter decisions. So, with BI, e-commerce companies can improve their decision making, which can ultimately help them survive the ...
... cut-throat competition.

Tracks Business Performance

For e-commerce companies, tracking business performance matters a lot, and this is not only just limited to financial performance or sales tracking. It also includes tracking the sales of the competitor e-commerce companies. However, e-commerce companies are often reluctant due to fear of high investment in technology. Business intelligence tools are now available at an affordable price that makes the task of tracking business performance a breeze with its intuitive dashboard and data analytics capabilities.

Reduces operational risks

While operating their e-commerce business, entrepreneurs often encounter plenty of operational risks such as online security breaches, low SEO ranking, intellectual property violation, credit card scams or weak authentication methods. Business intelligence helps to improve e-commerce companies by reducing such operational risks. It facilitates them to quickly analyze their vast data and identify the bottlenecks causing operational inefficiency. As a result, it becomes easier for them to take quick actions to mitigate such risks.

Helps in better product positioning

With millions of companies selling their products on e-commerce platforms, better product positioning proved a significant factor to attract customers. Product positioning is nothing but a marketing strategy that emphasizes communicating the qualities of a product to a specific customer segment according to their lifestyle or needs. It makes the product desirable all the more in a crowded market. BI helps to do their product positioning in a better way by providing them rare insights about their customer behaviour or buying pattern over a period.

Facilitates customer retention

Be brick or mortar or an online store; customer retention holds significance to running a business. Business intelligence facilitates customer retention by giving rare insights about sales and marketing that helps to retain and optimize their customers and attract new customers with the right offers.

In a nutshell, business intelligence can help improve e-commerce business in numerous ways. However, it is essential to choose a business intelligence tool that offers the features desired by e-commerce store owners. Many BI tools are now available for a free trial. They are to meet the demands of even small and medium-sized e-commerce stores.

Bappaditta Jana is a blogger who loves to spend his free time engaging in sports or gardening. Based in Kolkata, he is currently working with EasyReports an IT firm that has developed a BI reporting tool that can easily integrate with Tally ERP and many other applications.