Intuitive Technology: Big data
Data is in the throes of growth thanks to the rampant onward march of internet-connected technology. IBM (2014) cite 2.3 trillion gigabytes of data is created every day and by 2016 there will be 18.9bn network connections globally – 2.5 for every person on earth.
We no longer just have data; exponential growth and access to it means we have Big Data. The challenge for product and service providers is to leverage that data to adapt offerings to better meet the needs of customers. Great idea but not simple to implement (Laney, 2001). First, there is the sheer volume and scale of the data, which presents practical challenges in storage but more critical is an ability to cut through the volume and noise to generate meaningful insights and recommendations based on the illuminating data. Velocity refers to the speed of data; we are inundated with it from a variety of sources (Google Analytics, Social Media, Platform Usage and Transactions, Web History, Email and Audio) so being able to quickly and effectively sort and respond is critical.
Just as the modular approach was developed on the back of our clients telling us they only wanted to pay for what they use, while they use it, we are currently using data to develop our approach to the new pension flexibility. Clients are telling us when, where and how they want to fund their retirement from their SIPP, ISA and GIA.
The consumer voice is rightly louder than ever in shaping products and services. So we should expect to see more and more ‘crowd shaped’ products and services as they are created based on the aggregated preferences of the behaviour of groups of consumers, as expressed by their data. Many believe customers will begin packaging their own data and offering it to providers in return for financial rewards or better service.
One thing is clear – the products of today are not the products of tomorrow and our customers will tell us why and how they should be evolved.
Any opinions given are those of the individual writing this blog and not necessarily those of James Hay Partnership