Why Your Business Must Double Down On Data
As our governments fight to control the spread of the COVID-19 pandemic, we’re seeing the global economy grind to a painful halt. While we strive to save lives by restricting non-essential services and observing stay-at-home orders, both B2C and B2B companies—large and small—are feeling the effects of the unfolding economic crisis. For example, your sales pipeline and forecast from the beginning of the year probably looks nothing like your current figures. You may have already initiated some cost reductions and pulled back on spending to prepare for what’s coming. Except you don’t know what’s going to happen—nobody does.
In this unprecedented period of uncertainty, it’s difficult to plan or make decisions with confidence. As a result, the natural tendency may be to hold the line, ride out the storm, and wait for things to return to normal. While this approach may feel like a safe strategy, it is based on a misguided status quo bias. In reality, what we define as “normal” may never return. If we do eventually return to something resembling “normal,” what happens if it doesn’t emerge for 18-24 months? Can you afford to wait? Probably not.
In these challenging times, change is inevitable—standing still isn’t an option. While many digital transformation efforts have waited patiently for proper attention, organizations must now embrace digital change like never before. Companies need to pivot and adapt quickly to the new business environment. As our intuitions desperately seek to guide us through these unfamiliar waters, our fear-fueled cognitive biases will inevitably trip us up. During these turbulent times, data may prove to be the very life preserver that keeps your organization afloat. Insight-driven decisions—not gut-driven ones—will lead to business survival. It’s time for every organization to strengthen, not weaken, its commitment to data by doubling down on its analytics efforts.
To better understand how companies can leverage data to adapt and optimize their businesses in this unique pandemic crisis, I reached out to three analytics entrepreneurs for their perspectives and insights:
Each of these individuals runs their own analytics consultancy, is focused on driving value with data and works with a wide variety of companies that exhibit various levels of data maturity. From my discussions with these analytics experts, I’ve identified six key themes for how you should approach doubling down on data during these uncertain times:
As organizations struggle with this economic crisis, it’s important to be calm and not panic. Thompson said, “When businesses start panicking, they make illogical decisions that in the aftermath they will greatly regret.” These mistakes may include becoming too paralyzed with fear and unable to act, abandoning promising analytics initiatives andletting valuable brainpower go that could have helped in the recovery phase. Krantz noted, “The smart leaders are staying calm and leveraging this opportunity to recalibrate various components of their businesses.”
The pandemic shines a new light on your current business operations. A problem that was once invisible may now become painfully obvious during these demanding times. Helbling stated, “It’s a critical moment to establish a solid foundation for your business analytics so you have a clearer understanding of where your business is right now. With this foundation, you can then discover new opportunities for customer acquisition, lead generation and product sales.” Thompson noted, “Our sharpest customers are using this time as an opportunity to innovate at an even faster pace—it’s a chance for them to get even stronger.” In most cases, companies possess everything they need to seize new opportunities. Krantz pointed out that “the answers to many of your most pressing business, customer and market questions are likely already within your four walls—hidden within your data.
