Global Data and Operational Leaders in Retail, Restaurant, Commercial Real Estate, Travel & Hospitality Industries Report that Consumer Behavior Is Critical for Decision-Making, but Many Teams Are Falling Short in Using It
Among Top Concerns Are Data Security and Accuracy
PASADENA, Calif. — MAY 22, 2023 — Near Intelligence, Inc. (Nasdaq: NIR) (“Near” or the “Company”), a global leader in privacy-led data intelligence on people, places, and products, today announced the results of its “State of Global Consumer Behavior Data Survey” which reveals how changing consumer behavior is significantly impacting the way companies are approaching their business strategy.
Of the respondents, 59.8% said that changes in consumer behavior have caused their organization to rethink its business strategy in the past year, and 70.4% of executives worried about the economic impact of a potential recession.
Near partnered with Hanover Research to survey 590 global data and operational leaders working in the retail, restaurant, commercial real estate, and travel & hospitality industries. The survey examined the ways in which consumer behavior data is used to make business decisions to address challenges and assess sentiment about the state of the industry.
“Without a steady stream of up-to-date data on consumer behavior, companies are essentially flying blind,” said Steven Williams, Chief Research Officer, Hanover Research
Leveraging consumer data to stay ahead of the competition
The survey findings suggest that companies recognize the value of consumer behavior data and are looking for ways to leverage it to stay ahead of the competition. However, executives also indicated they would like to have more data available to them:
- 77.5% agree that consumer behavior data is critical for making informed business decisions.
- However, 72.1% of executives also indicate that they would like to have more data available to them for business decisions.
- 56.7% of organizations plan to increase their use of consumer behavior data for decision-making in the coming year.
Data still not utilized for decision-making
Despite the importance of data for business decisions, many teams still struggle to use it effectively. According to survey results:
- The majority of executives, or 64.2%, believe their organization is doing better than competitors in using data for decision-making.
- 38.9% of respondents report their organization has a lot of data, but isn’t effective in using it to make informed decisions.
- Nearly 40% of data executives say they have missed business opportunities due to insufficient data.
Hurdles to utilizing data
The top hurdles to using consumer behavior data for decision-making include:
- Finding high-quality data sources (34%)
- Blending data (32.5%)
- Making data actionable (27.7%)
- Ensuring privacy compliance (26.5%)
- Visualizing data (24.3%)
Although most organizations have a chief data officer or similar role, nearly a third of data executives said their organization does not have one, and 64% of data executives said they would like more technical expertise on their team so they can better utilize data.
Data security and accuracy remain top concerns
Data security and data accuracy are two key concerns that many data executives share.
- The majority of respondents, or 78%, agreed that data security and avoiding data breaches is a top priority for their organizations.
- Additionally, 94.4% expressed a level of concern about poor or unreliable data quality.
When researching third-party data sources, data security (69.2%) and data accuracy (63.8%) are the top features and functionality that executives look for. However, these two features are also the most challenging to find in third-party data sources.
Still room for improved transparency
Transparency around privacy is also important to executives, but many state that there’s still room for improvement.
- 92.7% of executives expressed some level of concern around adherence to privacy regulations.
- 66.8% are confident that their organization is complying with all data privacy regulations in the regions where they operate.
- 70.9% feel confident that their organization is transparent with the way they collect and use consumer data.
Consumer data integral to planning for 2023 and beyond
According to the survey, over half, or 56.7%, of organizations plan to use more consumer behavior data for decision-making in 2023. To achieve their goals, businesses are focusing on a range of areas, including:
- Growing footfall to locations (53.7%)
- Improving customer experience (52.0%)
- Online visits and sales (47.1%)
- Optimizing staffing (37.1%)
- Inventory turnover (35.5%)
To achieve these goals, businesses plan to:
- Get more teams involved in using data for decision-making (47.4%)
- Use data for additional use cases (43.2%)
- Do more to integrate siloed data across departments (40.4%)
- Integrate consumer behavior data with additional sources of third-party data (38.0%)
Download a copy of the full report: https://business.near.com/the-state-of-global-consumer-behavior-data
Near, a global, full-stack data intelligence software-as-a-service (“SaaS”) platform curates one of the world’s largest sources of intelligence on people, places, and products. The Near platform’s patented technology processes data from an estimated 1.6 billion unique user IDs and 70 million points of interests, in more than 44 countries. Near’s data and insights empower marketing and operations teams to understand consumers’ online and offline behaviors, affinities, and attributes in order to engage them and grow their businesses. With a presence in Los Angeles, Paris, Bangalore, Singapore, Sydney, and Tokyo, Near serves scaled enterprises in retail, real estate, restaurant/QSR, travel/tourism, telecom, and financial services. For more information, please visit https://near.com
About Hanover Research
Founded in 2003, Hanover Research is a global research and analytics firm that delivers market intelligence through a unique, fixed-fee model to more than 1,000 clients. Headquartered in Arlington, Virginia, Hanover employs high-caliber market researchers, analysts, and account executives to provide a service that is revolutionary in its combination of flexibility and affordability. Hanover was named a Top 50 Market Research Firm by the American Marketing Association in 2015, 2016, 2017, 2018, and by the Insights Association in 2019. To learn more about Hanover Research, visit www.hanoverresearch.com.