How eCommerce Can Benefit From Big Data Analysis

Big Data
Big Data

Have you ever thought about how much data you generate every second while scrolling through Instagram reels, Facebook, Twitter, and while you watch any YouTube video?

An average person generates around 2 MB of new data every second. And around 7,200 MB of data in an hour. The place where all this data, your every Facebook likes, your comments, your shopping list, everything that you store on the internet comes under big data.

Big Data is unorganized data on the Internet. Here BIG represents large; the data is so huge that it is not that easy to get the organized form. Big data includes every little detail of your phone, where you went, what you ate, where you paid, whom you talked to, and everything that has been done using your smartphone.
But what about our privacy?
On the internet, things like privacy may not exist anymore in most cases. However, big data is not about just one person. It has data from millions of people, in unorganized form. Therefore, data is aggregated, such as how many people searched for any particular thing or if any new thing is in demand.

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How Can Big Data Benefit E-commerce?

Getting access to people’s priorities for their likes and dislikes can help any seller understand their customers better. That’s exactly what big data can do to benefit the business. Getting access to big data is becoming easier and can help businesses grow to understand people’s choices. Even big eCommerce administrations accept the fact that big data carries a large future for the eCommerce industry.

Expansions nationally or internationally may only work with enough data that helps to understand better the customer’s experience, financial transaction, and what is in demand in the market. As the eCommerce industry is increasing rapidly, it is also attracting people with its optimized customer services. Due to the pandemic, the industry’s growth has already accelerated by 3-4 years.

To understand how Big Data helps benefit E-commerce, we have shortlisted some major points:

1)  Better Customer Understanding

Knowing your customers better, their needs, their choices, their favorite brand, and everything else helps these industries to serve them better. With more than 40 – 50 lakh terabytes, the information generating every day worldwide benefits these industries to know the trend. With better customer service, it helps to increase customer satisfaction and trust on the sites. It all results in the growth of the E-commerce business.

Big data helps these industries learn the trend better, understand what is in the top searches of their customer’s history, and let them help show those products to their customers.

Grabbing customer’s attention is the fundamental principle of business, and with big data, you can do this by understanding the needs and choices.

2) Better Decision Making Strategy

The data provided to these industries help understand the market demand and hence helps to create a better strategy. The data provided by big data is sufficient to understand the needs and helps to not invest in something which is not in demand.

A better strategy doesn’t only help in customer satisfaction but also helps the companies to invest their money where the market will be in demand. Strategies are important for companies to know what should be in the market and bring products into customers’ feeds without their search efforts.

We might have seen things in our Instagram stories, and while scrolling through Facebook about which we searched on YouTube or Google, that’s how things work. The eCommerce industry gets our data from big companies, understands our needs, and shows us items that can help us. And hence helps these industries to grow.

3) To Enhance Operational Processes

Big companies help enhance their operational processes with big data and hence helps to deduce their total manufacturing cost. Big data helps understand the algorithm by examining customers’ actions and their data. These algorithms help understand the experience of the customer while shopping through e-commerce sites, their check-in time, the time they spent on site, their checkout time, and much more.

These things then help sites improve their interface to let people spend more time on their site, or if not, to provide the best service in the minimum time.

4) Targeted Advertisement

All the data that has been provided through big data helps to show the advertisement that customers searched for. With all the search data and shopping data, these sites show the best ad serving their customer’s needs.

It helps to show important things in a short time. With all things prepared in advance for a customer, getting his or her data helps to supply better things or show better ads.


Big data helps eCommerce industries to understand their customer’s needs. It helps eCommerce to grow in a better direction without trying new things in the dark. It improves customer service and hence results in customer satisfaction which results in the growth of the e-commerce industry. It saves most of the unwanted searches done by customers to fulfill their needs with better customer understanding.

Big data is overall helping e-commerce to grow in a better way. It helps them improve their interface and helps to cut out the extra cost that they have to pay for ads that are of no use.
From optimizing product price to predict what to buy and when big data helps e-commerce sites in many ways.

It helps in better decision-making strategies and e-commerce to provide a safer method for payment options.

Overall, all the data on the internet is used by such sites to provide us better customer satisfaction and helps to get things we need without wasting much time. Many e-commerce giants use big data, and hence it is helping them to grow rapidly without any issues.

Our Guest ContributorHermit Chawla is an MD at AIS Technolabs, which is a Web/App Design and Development Company helping global businesses to grow by Global Clients. He loves to share his thoughts on Web & App Development, Clone App Development, and Game Development.