A report released by IBM and the Saïd School of Business at the University of Oxford has found almost two thirds (63%) of UK and Ireland businesses recognise the competitive advantage associated with Big Data.
What is Big data?
Big data is a general term for any collection of data so large and complex that it becomes difficult to process using traditional data processing applications.
Where do companies gather data from?
Big Data remains one of the hottest new trends throughout the world, continuing to attract interest and investment despite resistance from organisations concerned about privacy and keen to resist changing from traditional methods.
Big Data is increasingly being used in a large number of vertical applications in the market, contributing to everything from R&D to the detection of fraud. This comes amid the rapid increases in real time data arriving from a wide variety of sources including social media, log files, the internet, sensors and mobile devices.
The worldwide market for Big Data related hardware, software and professional services is valued at $30B in 2014.
How is that money spent?
A recent study is shows Big Data analytics market size by business category:
- Real Time Analysis – 16%
- Precise Marketing – 20%
- Operational Efficiency – 20%
- Innovate Business Models – 16%
- Customer Experience Enhancement – 28%
A lot of data….
- Every day, we create 2.5 quintillion (2.5 billion billions, or 25 with 17 zeros) bytes of data.
- 90% of the data in the world today has been created in the last two years alone.
- A report claims that the value of Big Data to Europe’s public sector could be €250 billion a year.
And a long way to go…
- Only 5% of businesses in the UK are using big data in the fullest sense.
- 41% of companies cite a lack of understanding of how to use big data as the No. 1 reason for not using it.
(Sources: IBM / McKinsey Global Institute / IBM)
For businesses, analysis of customer data can have a big impact. A software programme will typically apply 125 different algorithms in just 20 milliseconds and increase sales from 3% to 10% by directing them to more relevant products.