What’s on your shopping list?
6 July 2018
Artificial intelligence and machine learning, predictive analytics and data integration top the list of urgent tech-spending priorities among European business leaders, according to new research from Corinium.
Many European businesses and enterprises are looking to invest over £2million in technologies such as AI and machine learning, predictive analytics, data integration and data virtualisation, according to our new survey of spending priorities among data-led European leaders and executives.
Priority shopping list
The survey highlights the urgency of planned implementation of a wide range of technologies, with significant spend committed in the following six months or sooner on predictive analytics (79 per cent of respondents), data integration (71 per cent), data integration (63 per cent), data preparation (63 per cent), data virtualisation (58 per cent), AI and machine learning (53 per cent), and distributed file stores (53 per cent).
The survey also provided some valuable insights into the key drivers behind the decision to invest in such technologies, and the data and analytics function more generally. The top drivers included improving customer retention (50 per cent), managing risk (49 per cent), improving customer experience (42 per cent), improving product offering (33 per cent) and analysing the performance of sales and marketing campaigns (28 per cent).
Measuring return on investment
Data and analytics leaders were also asked in the survey for the key metrics that they use to measure return on investment. Top of the list was operational efficiency/time-saving metrics (32 per cent), followed by customer engagement indices (24 per cent). Other ROI areas of focus included customer satisfaction scoring (14 per cent), customer retention (13 per cent), cost savings (10 per cent) and profit generation (8 per cent).
Influence of analytics on the wider business
Respondents were also asked to assess the extent to which the analytics function informs and influences the strategy and activities of the wider business. Some 31 per cent of data leaders rated their influence as “very high” (“We are involved in strategic business decisions”), and a further 41 per cent rated their influence as “high” (“We offer insights and offer recommendations based on our findings”).
In other words, some 72 per cent of businesses consider the influence of the data and analytics function within their organisation to be high or very high. And that influence looks set only to grow and evolve, with a further 24 per cent of businesses already rating their influence as ‘intermediate’ (“We offer insights to other departments”).
‘It’s clear that the positive impact of the analytics function is being felt right across the business, from sales and marketing to HR and customer experience. Innovation and automation are the order of the day, and the influence of data and digitisation looks set only to expand and accelerate.’
Respondents included chief data officers, vice presidents of data or analytics, directors and other senior data-led executives from the finance, insurance, pharmaceutical, telecoms and automotive sectors. Respondents are based around Europe, distributed evenly between the UK, Germany, France, the Nordic countries and the Netherlands.
For more insight and information on the spending priorities of Europe’s data and analytics leaders, download the full report today.