Data is commonly analysed to help businesses understand their customer base, tailor their marketing, optimise operations and reduce risks. But data analysis is often misunderstood. Here we debunk five common misconceptions.
1. AI can replace data analysis.
AI can interrogate data patterns but it cannot replace human understanding of the findings. When human operators use AI, they quickly develop a clear understanding of data patterns, identify anomalies and most importantly, inform strategic decision making.
2. Data analysis is guesswork.
A data analysis company actually removes the guesswork, helping businesses obtain reliable and accurate insights into their operations. By understanding and using data effectively, businesses can make data-driven decisions to improve outputs, productivity and profitability.
3. Data analysis is subjective.
Companies such as //shepper.com combine powerful technology with human logic to provide unbiased, real-time insights, helping businesses improve their performance and exceed their targets.
4. Data analysis shouldn’t be automated.
Automation is not the enemy. Used properly, it delivers impressive efficiency gains by collating and categorising data for human analysis. Automating this part of the process allows human operators to delve into the details and begin producing insights more readily.
5. Only quantitative data can be analysed.
Qualitative data encompasses opinion, and as such, it can be more challenging to categorise; however, it often delivers the most useful insights, so failing to analyse it renders the collection process pointless. Instead, businesses should consider what information they wish to capture alongside the level of effort they are willing to expend in analysing and acting upon it.
