Using Data Driven For A Digital Transformation Essay

777 Words Jun 20th, 2016 4 Pages
Companies today amass more data than ever before, and a digital transformation tends to increase the amount of data collected. Due in part to the volume of data that most companies have accumulated, marketers are urged to be more data-driven if they want to achieve the best results for their efforts. However, many businesses do not realize that it is no longer enough to be data-driven. Databases are not adequate substitutes for truly knowing your customers.

Data can provide you with statistics, but there is no context. From your data, you can gather specific facts. You can learn names, addresses and perhaps gender or age. Until you can use your data to provide useful information, however, your databases are doing little more than taking up space.

Once you start organizing your data, you begin to translate facts into information that you can use. Your data begins to make more sense as you start to link the facts and add context. You can now see that a particular customer is a female in a certain city who made a purchase on a given date. Unfortunately, for many businesses, the process stops at this point. They use the information they have compiled to plan marketing and engagement strategies without realizing that they need to go an additional step. They need to progress to knowledge management.

Basics of Knowledge Management

Data is not information, and information is not knowledge. To illustrate the differences, assume that you have data fields consisting of the…

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