Is your company struggling with the amount of data to analyse? Is data analysis something you want to start thinking about more seriously? Let’s investigate why it may be a good idea and how outsourcing data analysis can put your business in the fast lane!
What is data analysis and why is it so important?
In today’s world, we are constantly surrounded by data. We create it every minute, we look at it, we dispose of it, yet research shows that we analyse and use only 0.5% of it. Given the amount of data there is, analysing 0.5% of it is still a huge job and it requires skilled and experienced people if it is to be done well.
What is data analysis? Simply put it’s a process of inspecting, collecting, transforming, and modeling data. Its purpose is to discover useful information which would support decision-making processes, so crucial in all types of businesses. And it’s exactly the reason why it is so important – it enables organisations to transform, minimise risks, reduce overheads, and improve performance.
Let’s look into some examples. If you are selling goods, knowing what your customers like, what’s their background, interests and how much they are willing to spend is vital if you want your marketing strategy to be effective and bring you more money.
The very same is true when you are looking to expand your company and need to know which areas you need to invest in. When making such a decision you cannot rely on intuition. You need facts that will make your investment worth it.
Data analytics is crucial when it comes to maximizing profitability and revenue, as well as improving productivity rates. But to get the information you are after, you need to gather and analyse a huge amount of data – something you simply may not have time, knowledge, and resources to do. The global shortage of skilled IT professionals makes the whole venture even more challenging. These are the main reasons why more and more businesses today decide to outsource data analysis.
What does data analysis outsourcing mean?
Data analysis outsourcing means entrusting a service provider with your company’s data. In turn, the service provider delivers insightful reporting and takes care of the whole infrastructure, data management, analysis, and compliance.
According to Data Analytics Outsourcing Market – Growth, Trends, COVID-19, and Forecasts (2021 – 2026) by Mordor Intelligence in 2020 the global data analytics outsourcing market size was valued at USD 3.04 billion. By 2026 it is expected to reach USD 9.46 billion, at a Compounded Annual Growth Rate (CAGR) of 21.5% during the period from 2021 to 2026. This trend clearly shows a huge increase in demand for data analytics outsourcing services, due mainly to the increase in the amount of data we produce, which is a consequence of the increased use of the internet and social media.
As revealed by IBM, over 90% of the world’s data was created in the last two years. Large investments in data analytics by organisations to increase their productivity are further expected to drive the growth of the market over the forecast period.
The trend is global and not industry-related. As shown in the graphs below, outsourcing of data analysis is done by companies across all industries and from all over the world.
Benefits of data analysis outsourcing
Let’s look into the main benefits of data analysis outsourcing in more detail:
- Professional, high quality and industry-related reports at your fingertips
A professional outsourcing partner will equip you with the very best reports, focusing on your business’s needs and using insight knowledge of the industry. Thanks to their experience your reports will be highly valuable and will help you make the right decisions, crucial if you are keen to further expand your business and simply be successful. They will also help you improve your day-to-day operations.
- A service that is reliable and ready to use
When you decide to use an external provider for your data analysis, you just need to sign a contract and give the provider access to your data. Everything else will be taken care of. You don’t need to worry about the service itself, about how it works and whether your data is protected. It all lies with professionals, who take care of those types of services on daily basis and simply know what to do.
- Quick access to skilled IT professionals
By working with an experienced external partner, you gain quick and easy access to a pool of talented and skilled IT professionals, who are not so easy to find and retain in today’s challenging job market. They will be there for you when you need them, offering you all the skills and experience you are after.
- Compliance of regulations on data security and protection
When you decide to work with an external provider, all the burden of compliance with proper regulations is on them. They will take care of your data security and will be ready to help you, should you have any questions about it.
Outsource your data analysis to Future Processing
At Future Processing, we are skilled at providing the best service to all our clients. Data science and engineering is something we excel at. We design and create solutions from scratch to empower your decision-making processes and support your analysis procedures. Check out what we do and how we can help you achieve your goals.