​Data delivers

Having systems to collect and assess data are critical for large businesses — but the payoff is significant for small operations too. Wouldn’t it be helpful to know, for example, the exact price point that maximizes guest demand and profit for a popular product you sell? Or which promotions generate the most interest? In fact, a BARC research report found that businesses that harness data effectively saw their profits increase 8 percent and costs decline 10 percent. The systems can be just as helpful in predicting what’s ahead as assessing what you have already done — predicting that your past guests want to order burritos for takeout on Friday night and might be tempted to tack on some caramel flan if you suggest it. Or predicting where you should place a promotion on your website, based on how visitors navigate through your pages. Finally, in an age when information breaches no longer make front-page news and businesses are blamed less for experiencing a breach and more for how they manage the aftermath of one, having systems in place can help you pinpoint where and when problems happen in different areas of your business so you can respond and address red flags more promptly. If your data management practices need a boost, take stock of your needs. An Entrepreneur report advises you determine which five or six pieces of information are most critical to the success of your business. Choose technology that addresses those critical needs and determine whether the cost can save time and money, in addition to generating more revenue.