“Data democratization is the ability for information in a digital format to be accessible to the average end user. The goal of data democratization is to allow non-specialists to be able to gather and analyze data without requiring outside help.” as defined by whatis.
Without touching all aspects of digital I am only going to cover here only the digital marketing angle and share my thoughts on why data democratization, collaboration & analysis is needed & how it will revolutionaries the way that digital media business operates.
It is now well established that spends on digital is increasing YoY in India. As per the recent DAN-e4m report, it currently contributes to 15% of the total advertising industry and are expected to reach 24% of the entire market by 2020.
Within a typical organization, the analysis of a digital campaign is mainly put on the broad shoulders of the chief digital officer who in turn needs to depend on the various agencies. Rise in spends leads to on-boarding agencies with special and super special services as partners.
This holds true across POE (paid owned and earned) like we have seen some agencies who specialize only in UI / UX. Hence end of the day what is received is tons and tons of reports with tons & tons of data open to analysis for every campaign running.
Thus, making it imperative to democratize the data & have a holistic picture of all the data in one application. – whether it’s from social networks such as Facebook, Twitter or LinkedIn, digital advertising campaigns, owned assets analytics like google analytics. This will not only empower the marketer, but also make it easier to analyze data allowing her to take better decisions & update campaigns in real-time.
By adding a lot of intelligence by including benchmark both historic data as well as the industry benchmarks and on top of it adding the sales numbers just makes the data more robust & relevant.
The fun is being able to map all the activities & gauge how one change impacts the other. This also aids in providing one common currency to compare different platforms on digital media.
A CDO I recently met, mentioned to me how easy it was for him to monitor & manage his campaign by just downloading a tool on his phone and checking what keywords were working for him vis-à-vis his website performance. This allowed him to stop wasting time on reports & rather concentrate on important decision making.
Data democratization of course is not restricted to the marketer but can also add a lot of value to an agency. The focus of any agency is improving client’s ROI as measured by website traffic, app downloads or any other metrics. Breaking this into parameters such as CTR, CPM, CPC, page rankings, followers, traffic volume, bounce rates, likes, comments, etc. Thus, making data the center point & gathering it from all the channels across Paid, Owned & Earned. There may be one agency looking at all the above or different agencies for different requirements. The reports & recommendations relevant to the specific KPI are shared in silos thus missing out on the big picture.
Hence the need for data democratization & comprehensive analysis. A system where all party has access to relevant data, in real time with a tool that does not require special data scientist to use. This system will not only save time – away from excel reporting – but also provide better insightful analysis to the clients by allowing the team to focus on their core skills. This system will also add a lot of advantage to account & media planning because of access to current, past & industry data. Thus, paving way for a complete automated planning system.
Reinstating that data is the one of the most important element in the marketing mix & when used right is a true game changer, I would like to sign off by quoting stats from PricewaterhouseCoopers France research which stated 20 to 35% of a company’s lost revenue is due to poor use of data.