How Business Intelligence is changing Fintech is an interesting topic and one that will be changing in the future. The topic is changing because Fintech companies are becoming more customer-oriented. Fintech started as a “revenue tool” but most customers want personalized services. Customer service is changing so customer support software must change also to remain in contact with the customers.
Business intelligence is changing Fintech because the data used to make the models has been radically expanded. Data sciences has exploded and business intelligence software was not built to handle it. Data science deals with how every piece of business data fits together in order to generate a business decision. Big Data analytics is changing because it is now possible to collect, process, analyze, and interpret large volumes of data. In order to do this the data must be prepared properly and the models have to be robust. Data science is changing because the data is now so large and so valuable that it is hard for smaller firms to manage without help.
How Business Intelligence is changing Fintech because of this change is because smaller firms can no longer rely on internal systems to make business decisions. It is too complicated for them. It is much more convenient for them to outsource that responsibility to third party systems. Outsourcing is changing because in the past companies were more likely to outsource if they didn’t have enough expertise. Now that they have the expertise they are less likely to do this.
Data centers are changing because they were once designed to handle all the data. Today it is still very cost efficient to keep data in the data center and smaller businesses don’t have to spend money on extra space. They have the capital to invest in another building or room. Data centers are changing because they are taking up precious space that can be put to better use.
The need for data protection is changing as well. Traditional data security measures were not effective against hackers. They could mask data but it was virtually impossible to determine what had been changed. Hackers use complex programs to break through security and find out what has been altered. Today businesses can use software to track what is going in and out of the data center. The software also helps them determine which servers are being used to store the data.
Business Intelligence is changing Fintech because the need for better business intelligence is increasing. Firms are always looking for new ways to improve their business. They want to understand their customer’s preferences. They are always trying to improve their marketing campaigns. They need to know what is working for other companies and how they can improve their own offerings. Insurtech, as the Olive blog points out, is being used to give immediate quotes and coverage in the world of extended auto warranties.
As time goes on companies will look for new places to get this intelligence. Some will use internal systems, while others will look to outside sources. This is something we have to expect with any change to how businesses operate.
Businesses will continue to look for ways to change how business is done. If you think that this is all going to be a positive change you are wrong. There will be some losers in this race. However, if all of the winners make money then we may have a new appreciation for what it takes to run a successful business.
How Business Intelligence is changing Fintech is also changing because the data available now is much more detailed than it has ever been. Companies are spending more time and money on collecting this information. It is not just the financial results that they are looking for. They are collecting information on every aspect of the company. This includes sales, customer service, technology, marketing, research, human resources, and much more. It is incredible what the business world is able to do when they have the right tools.
When the intelligence collected on companies is so detailed it is easy to see why businesses will change the way they do business. They will begin to use more social media, market to an online audience, use more traditional methods of advertising, and most importantly they will gather information on their competition. The competition is already changing the way business is done. It is interesting to see how a new competitor might approach a company’s website. They could even find a new way to reach customers if they think the company has an issue that needs to be solved quickly.
If you have a business or you are planning on starting a business in the future, it is important to think about how your company will change in the future. You need to study the trends and how your industry is changing. Do your research before you decide what business you are going to open or start. This way you will be prepared for the changes that might be a foot in the future. Think about the kind of business you want to operate and study the trends that could affect your company.