Once you have this information, you have to plan to do something with it, not assume it isanother notch in a belt or a thing to be catalogued and forgotten.
The Marketplace grows as the return Increases
The value of BI is becoming apparent to those interested in gleaning customerintelligence as part of their overall CRM initiatives
. BI is perhaps the hottest segment of the CRM market in 2004 and promises to be for several more years. It is a market that grewup to
$6 billion by 2005
. The value of tools in that they help companies understand andinfluence behavior.Aberdeen group found that approximately
19% of companies implementing BI claims theyhave met or exceeded their business goals
. More than
60% state they have at leastlargely me their goals
. As always, soft nonmonetary benefits were more easily obtainable,and even quantifiable, than hard revenue bearing benefits.Companies that had the data collection tools seemed to be willing to spend between $1million and $2 million on these analytic applications. In results it was found that those whohad deployed them were staggering.
While those who were using it could see 30%-70%improvement in response rates.
Business Intelligence begins to Verticalize
Business Objects, perhaps the BI industry’s most significant player, has introduced asubstantial number of industry-specific business intelligence applications that cover consumer products, communications, energy, financial services, government/public sector,healthcare, manufacturing, pharmaceuticals, and retail. CRM- centric analytics-strongcompanies like Epiphany, Peoplesoft, Siebel and oracle follow similar industry- specific patterns in their offering including analytics. The idea of vertically smart BI would be to havealgorithms that deal with processes that are faithful to their industry only.
Business Intelligence and a real-time future
There is a BI holy grail. The vast majority of BI applications are not real-time at this stage.
They run their algorithms at some pre-determined time intervals and then slice anddice appropriately
. While well suited long-term planning and identifying customer segment,they are not suited that well for personalized real-time interactivity that most competitivecompanies want to maintain and gain an edge. The current generation works well with bothidentifying the state of the current customer database and evaluating the appropriatesegments for targeting campaigns.
Personalization = real time
Personalization is basically human touch without the actual interaction with a realhuman
. The best personalized engines are those that provide you with a
“warm and fuzzy”
experience and an associated good deal during your sojourn with a company through some