Benefits of Interactive Data Visualizations - dummies

Benefits of Interactive Data Visualizations

By Mico Yuk, Stephanie Diamond

Some companies choose to ignore the growing stacks of data and continue to rely on standard methods like spreadsheets that offer little customer insight. Others take a leap and bring in software that helps them analyze both their structured and their unstructured data (such as social media data). They can then create data visualizations that help them make more educated, fact-based business decisions and predictions.

The jury is still out as to whether most corporations will take full advantage of their data for competitive purposes. Companies that do realize that being able to analyze many forms of data at the same time in the form of interactive visualizations have a competitive advantage. From understanding the sentiments of their customers to examining their buying habits, the possibilities to get ahead of one’s competitors by viewing one’s data are endless.

Companies that take advantage of their available data by putting it into interactive data visualizations can reap the following benefits:

  • Self-service: Users can manipulate the data to find out specific things they need to know.

  • Immediacy: Users can be alerted to situations that require immediate attention.

  • Improved collaboration: When everyone on a team is looking at the same data, the team can solve problems more easily.

  • Simplicity: Users are presented with only the key elements that enable them to get both the big picture and the details in one visualization.

  • Insight: Users can glean important revelations about the company’s performance from a good interactive visualization.

  • Depiction of patterns: Patterns make it easier for users to analyze the data and identify trends. It’s unlikely that users would be able to recognize patterns when presented with millions of lines of data in a spreadsheet; visualizations make it easier to identify patterns at a glance.