To find new growth opportunities, eCommerce owners need more than just web traffic data and transaction records to build successful commerce brands. Some retailers are frustrated with the complicated process of studying their customers through a hotchpotch of data sources and formats. Merchants do not require only transaction records and web traffic data to build successful brands. They need business intelligence to analyze the top customers, products, and promotions and share insights across the organization. Business Intelligence is an idea that typically requires the delivery and integration of relevant and useful business information.
According to Gartner, worldwide business intelligence industry is expected to reach around $22.8 billion until the end of the year 2020, thus for traders, it is essential to opt the best business intelligence tool. In this way, Magento Business Intelligence is a cloud-hosted analytics platform that integrates with your Magento store. It allows merchants to fetch data from multiple sources to make data-driven decisions. It smoothly integrates with your Magento stores that enables to fetch data directly from your customer database, track their behavioral data & purchase history that result in detailed customer segmentation. Mainly, Magento BI’s competitive advantage is the capability to benefit data directly from a database.
Why Magento Business Intelligence Is Important?
Identify Customer behavior
One of the main advantages of investing in Magento business intelligence is that it will boost your ability to analyze the current Customer buying trends. Once you understand what your consumers are buying, you can use this information to develop a strategy that matches the current consumption trends and consequently improve your profitability since you will be able to attract valuable customers.
Make Data-Driven Merchandising Decisions
Magento BI enables merchants to behavior analysis into some of the causes and effects that might exist inside your operations from a merchandising perspective. For example, by plotting the price of a product against orders and revenue, the platform helps to identify optimal price points with ease. With Magento BI, retailers can focus investment on promotions that are statistically more likely to drive ROI and loyalty, while abandoning poor-performing offers that cannibalize business.
Centralize your data
The average number of SKUs for a retailer in their first year of operation is 2,000, but by the time they get to year five, the average retailer sells over 14,000 distinct SKUs. This drastic increase means that the management of product data, as well as the insights that we can draw from it, becomes increasingly difficult without a business intelligence platform.
During traditional data gathering techniques, clients need to compile and analyze data and prepare related reports. This can be incredibly time-consuming, particularly for small businesses. With a Magento BI program, you can pull data and make the reports at the click of a button thus freeing up time and assets allowing employees to be more beneficial on their own tasks.
If you need to enhance your control over different essential procedures in your organization, you ought to consider investing in a good business intelligence system. With the help of Magento BI, you can enhance the visibility of these procedures and make it possible to get to know which areas need improvement.
Turn data into actionable information
Magento BI helps you to know the insight of data and make successful strategic plans for your eCommerce store. This is because such a system would be able to identify key trends and patterns in your store’s data and consequently make it easier for you to make essential connections between different areas of your business that may otherwise seem unrelated.
As far as customers are concerned, Magento BI can help your eCommerce business acquire new customers. The insights from that you get to know where you get higher profit margin that shows your customer behavior towards your product or service. This will help you to take your decision on product categories and help you to choose those that have a higher profit based on the insights above. It can aid the work of management in the retention of repeat customers. You can analyze the data generated to know which customers are responsive and rake in more revenues. Thus, it contributes to business efficiency.
Magento BI is the most effective advanced analytics solution that offers you in-depth and action-oriented analytical insights to arrange all your business data in a meaningful way. It enables enterprises to harness the powers of data and use it efficiently to take several advantages. Magento Business Intelligence brings all details of the performance of your eCommerce Store within reach, with the quality and reliability of enterprise software. Think of analyzing and optimizing your popular product and opportunities to increase your ROI.