Challenges of Dependency on Third-Party Service Providers
Dependency on Service Providers
Approximately 30% of respondents’ weeks are spent trying to find the right data and information, which is equal to 2.4 hours daily.
The service contracted to these providers often returns insights rather than raw data. Insights on predefined metrics, often associated with platform-related resources, pose several challenges:
Access Limitations
The ability to access data is often contingent on the service provider’s policies.
Data Fragmentation
Data may be stored across various platforms, leading to a fragmented view of user interactions and making comprehensive analysis difficult.
Lack of Real-Time Data
Real-time data access is limited, hindering immediate analysis and response.
Why Own the Analytics Data?
For competitive edge, real-time insights, and real-time response to user behaviour. Owning raw data offers numerous advantages:
Flexibility and Portability
Data can be matched, ported, and reinterpreted to suit specific analytical needs.
AI Training
Raw data is essential for training AI models to improve predictive capabilities and personalised experiences. Real-time personalisation, behaviour-led UX elements, and adaptable layouts are possible when access to user data is granted.
Comprehensive Insights
Businesses can aggregate data from multiple sources to generate holistic insights, leading to better decision-making. Using own metrics across all data points enhances the analytical process.
Overcoming the Cost Barriers of Data Control
While owning analytics data offers a competitive edge and comprehensive insights, the costs of enterprise-level tools can be substantial. These robust capabilities often come with high price tags that are manageable for large enterprises but can be a significant burden for SMEs. Businesses must find ways to control their data to fully leverage its potential without incurring prohibitive costs.