Data is one of the driving forces for most companies in today’s digital business environment. They are consequently, going to every effort to collect and analyze it for insights that can be used to support their decision making processes. This data is often not especially hard to collect. However, when it comes time to analyze the data, the nature of many BI tools on the market mean that users are often forced to leave their preferred business applications if they want to do it, siloing analytics within dedicated platforms.
The consequence of this is that end users are hindered in their efforts to understand, explore, and visualize customer data at the speed necessary to exploit it to full effect. One solution rapidly being adopted by countries across the globe is embedded analytics.
Embedded analytics refers to consumer-facing BI and analytics tools that have been integrated into software applications, operating as a component of the native application itself rather than a separate platform. Conducting analysis in this manner allows end users to work with higher quality data as standards of governance are higher, it allows them to discover insights quicker as time is not wasted requesting reports from external agents, and it allows them to distribute findings throughout the organization to other employees.
One of the primary beneficiaries of embedded analytics is actually the consumer. Analytics can be embedded into customer portals so they can ask questions of the data themselves, giving them easier access to things like invoices, delivery tracking, and billing. This has the added bonus of lowering the burden on customer services, who no longer have to field requests for such information, freeing up time to address more complex customer issues that genuinely require a human touch.
The popularity of embedded analytics has grown exponentially over the past several years. Business users are now adopting embedded analytics at twice the speed they are traditional Business Intelligence (BI) tools, according to the results of a new study from self-service analytics firm Logi Analytics. The fourth annual State of Embedded Analytics Report also recently found that the market could potentially grow to $46.19 Billion by 2021 - CAGR of 13.6% - while 43% of application users already leverage embedded analytics regularly and 87% of application providers claimed embedded analytics is important to their users, up from 82% in 2015.
In today’s modern business world, organizations need to be as reactive as possible. Customer service is an excellent example of where embedded analytics can prove useful, but the applications are far more widespread and can benefit every aspect of an organization. The primary value of embedded analytics rests in the ability to embed reports and data into the applications that business users use the most, whether that be the company portal or another site, essentially streamlining the whole process. For this value to be realized, companies are already adopting embedded analytics in their droves, and those that haven’t already will likely need to in the near future.