Opportunity and challenges of Big Data in Marketing

Opportunity and challenges of Big Data
in Marketing
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Executive Summary
Big Data has revolutionized ways in which operations around companies take place. Big
Data application in marketing has increased tremendously with technological giants working to
tailor-make data available to marketers. Marketers make use of these Big Data in understanding
their customers and designing specific products and services for them. The scope of this report
outlines the opportunities and challenges faced by Big Data. Marketers are provided with ample
opportunities by creation of Big Data as they now do not have to go about collecting data and
information. However, Big Data is so immense that marketers are not able to arrive at conclusive
decisions related to outcomes of Big Data. In the end evaluating the potential opportunities and
challenges a comprehensive recommendations for utilization of big data is arrived at.

Table of Contents
Executive Summary.........................................................................................................................2
1.0 Introduction................................................................................................................................4
2.0 Big Data Application in Marketing...........................................................................................4
3.0 Opportunity of Big Data in Marketing......................................................................................5
4.0 Challenges of Big Data in Marketing......................................................................................10
5.0 Recommendations and Conclusion..........................................................................................13
Works Cited...................................................................................................................................14

1.0 Introduction
Big Data encompasses large volumes of data that are used by companies in order to form
strategies1. Big Data sets are not only large and voluminous but are also complex in nature
requiring data processing applications software to process the same. Big Data is used in almost
every contemporary company now to deal with globalisation challenges and meet with
technological updation. There is application of analytics in Big Data that are used to predict
complex and versatile outcomes for arriving at business trends, combat crimes, prevent diseases
and for many more applications. The scope of the study relates to application related to Big Data
in marketing. Marketers and companies make use of versatile data related to buyers and products
for analysing them and arriving at choices related to products. Therefore, there is tremendous
application of Big Data in the field of Marketing. This study deals with analysis of opportunity
and challenges faced in Marketing related to Big Data.
2.0 Big Data Application in Marketing
Big Data has been thought to be one of the key core competency that a marketing agency
or department of a company can have. Invention of technology on phone and advent of the
internet have allowed big data being the fundamental aspect for the new marketing landscape.
Marketing companies and departments stores such huge amounts of data generated, processes
them and analyses them for arriving at complex decisions related to their products as what
products to produce, at what prices to produce, who will be the main purchasers, how to market
them, who are the primary competitors and so on. Such diversified questions earlier used to be
1 H. Chen, R. H. Chiang & V. C. Storey, "Business intelligence and analytics: From big data to
big impact.