5 Steps for How to Better Manage Your Data Businesses today store 2.2 zettabytes of data, according to a new report by Symantec, and that total is growing at a rapid clip. This effort represents a significant source of inefficiency. Above are the top 5 ways your business can use technology to gain competitive advantage. Those who follow the page are able to see the post, react, and plan their schedules based around its content. Regardless of the information you gather, you will not know whether or not it is useful until you know the ins and outs of your own business. Your logo is a visual representation of your brand and, therefore, needs to be aligned with the products and/or services you offer. By making vast amounts of information available to all employees, ICT enables the organization to respond effectively to change or business opportunities. After doing your research, however, you find out that the trainers at your competitor’s gym are expensive and have a reputation for being harsh on their clients. Researching the industry and applying it to your local market will help accomplish this. When your mission is set, utilize today’s marketing platforms, namely social media, to promote everything you offer and show why you are better than your competitors. Now the company aggregates shop-floor and supply-chain data for a number of manufacturing customers and sells software tools to improve their performance. Since most organizations have a strong online presence, data has become a modern form of currency that dictates trends and makes or breaks a business. Now, you need to find a way to stand out even while offering the same thing. There is an important distinction between a business’s brand and its identity. One government organization, for instance, collected data on multiple groups of employees doing similar work at different sites. Finding a way to lay the foundation for this relationship, however, often begins on shaky ground. The answer is that you gain a competitive advantage. 5. It seems fairly obvious that knowledge of your target market (in this case, fitness enthusiasts) is important for business success. Social platforms like Twitter, Facebook, and others hold important information external to the organization. Request a demo of our software today to learn more. It is smart for any business, including those in the fitness industry, to conduct a S.W.O.T. It could be your products, service, reputation, or even your location. Simply making the data available spurred lagging workers to improve their performance. By promoting lower prices, along with knowledgeable and encouraging personal trainers, you have given potential customers a reason to choose your facility over the one down the street. The images, products, services, and reputation put forth by a business make up the DNA of the brand. As a long-term asset, this expectation extends beyond one year. Highly skilled labor 3. This real-time targeting, which would also leverage data from the retailer’s rewards program, will increase purchases of higher-margin products by its most valuable customers. First, advances in information technology are changing the industry structure. One big challenge is the fact that the mountains of data many companies are amassing often lurk in departmental “silos,” such as R&D, engineering, manufacturing, or service operations—impeding timely exploitation. Take credit bureaus and the information aggregators LexisNexis, Thomson Reuters, and Bloomberg, just to name a few. But other sectors, too, can benefit from new applications of data, along with the growing sophistication of analytical tools for dividing customers into more revealing microsegments. The era of Big Data could yield new management principles. These satellite sleuths glean insights into expansion plans or business constraints as revealed by facility capacity, shipping movements, and the like. This is absolutely not the case. Hunting and fitness may not be too closely related, but this analogy isn’t all that far-fetched. In the early days of professionalized corporate management, leaders discovered that minimum efficient scale was a key determinant of competitive success. 3 Things Your Business Must Do to Remain Competitive It's harder staying at the top than it is to get there. If your personal training clients receive a quality workout but are confused about how to track their progress between sessions, the stage is being set for them to discontinue their service at some point in the future. Other early adopters of Big Data are using data from sensors embedded in products from children’s toys to industrial goods to determine how these products are actually used in the real world. In short… Two-thirds of that would be an 8 percent reduction in U.S. healthcare expenditure. Advertiser Disclosure: We strive to help you make confident fitness software decisions. On the other hand, if your business vision is closely aligned to your competitors and you are unable to find something different to offer, your focus shifts. But we are now at an inflection point. Competitive advantage grows fundamentally from the value a firm is able to create to their customers. 4. For example, if the data show that most turnover is from new hires, … It is what makes the brand, product, or service to be perceived as superior to the other competitors. The real-estate industry, for example, trades on information asymmetries such as privileged access to transaction data and tightly held knowledge of the bid and ask behaviour of buyers. Big data is one of the hottest topics in technology today. Creating an identity visually represents your business to your customers. Consumers can also reap highly significant benefits. … In the majority of industries, both existing as well as new establishments will implement strategies based on big data analytics in order to stay competitive, innovate, grow and seize value. Your competitive advantage is what sets your business apart from your competition. Second, information technology is an increasingly important lever that companies can use to create competitive advantage. Big Data will help to create new growth opportunities and entirely new categories of companies, such as those that aggregate and analyse industry data. That doesn’t just mean collecting numbers, but actually getting a sense of the relevant figures, how they can give you insight about your target market, and what they mean for the growth of your brand. Where such controlled experiments aren’t feasible, companies can use “natural” experiments to identify the sources of variability in performance. Forward-thinking leaders across sectors should begin aggressively to build their organisations’ Big Data capabilities. In recent years, however, online specialists in real-estate data and analytics have started to bypass agents, permitting buyers and sellers to exchange perspectives on the value of properties and creating parallel sources for real-estate data. Sensitivities around privacy and data security are just one hurdle that companies and governments need to overcome if the economic benefits of big data are to be realised. This means being able to identify offerings that have been sustained in the industry for years, as well as trends that are new or up and coming in the fitness industry. James Manyika is the San Francisco-based director of the McKinsey Global Institute. Leverage can change your life and business, but only if you take full advantage of it. Grow and manage your fitness business better with Exercise.com. In most industries, established competitors and new entrants alike will leverage data-driven strategies to innovate, compete, and capture value. So for a business to get a competitive advantage over its rivals, it has to either perform these activities at a cheaper cost or perform them in such a way that the business will stand out to the extent that customers will not mind paying a premium price in order to get it. Let’s take a closer look at how to make your business unique amongst others in the same market. What steps do you, as a business owner, need to take to cement yourself as the first choice for customers in the fitness industry? Big Data can unlock significant value by making information transparent. All of this information can help you decide what type of content is most effective for you to post. Dan Chojnacki is a writer for Exercise.com and a personal trainer in Green Bay, WI. Mobile communication technology enables employees working away from the office to access the same data and applications as their office-based colleagues. Switching Costs. One of the key ways that companies stay competitive is by keeping tabs on data about their clients and the market in general. Understandably, in today’s market with outsourced Managed Service Providers (MSP), most small businesses don’t have an “IT Department”, … Creating a post on your gym’s social media account costs nothing more than a few minutes and the click of a button. A great example of this is Exercise.com’s all-in-one fitness business software. Microsoft Corporation (NASDAQ: MSFT), one of the largest companies in the world, thoroughly understands how to build competitive advantage. You also, in many cases, still come out ahead from a monetary standpoint because you are trading time for extra revenue. Written by Target Market:The perfect knowledge of who buys from the brand, what they desire from the brand, and who could start buying from the brand if certain strategies are executed is essential for t… After all, your competitive advantage is, by definition, something your competitors do not have. Request a demo and find out how we can collaborate to help grow your business. As a fitness business owner, your success depends on the number of customers who are willing to pay for the products and services you offer. Luckily, today’s leading companies are collecting more data than previous decades and those with the competitive advantage are using that data to beat the competition. Big Data is spawning new categories of companies that embrace information-driven business models. These people will only be willing to pay for something if they see the value and, therefore, you need to understand which items carry the most weight rather than taking a random shot at what you think they want. If you were to bundle these services at a discounted rate of $75 total, however, your customer would recognize the importance of all three, see better progress which they would attribute to your business, and you would earn income that otherwise would be lost. From a fitness business perspective, customer satisfaction is based on results. Ford Companies try very hard to create a perception that they are different from their competitors. Researchers can model the impact of variations in menus, restaurant designs, and training, among other things, on productivity and sales. However, when combined with a firm’s proprietary data or integrated with a firm’s proprietary procedures or other assets, third-party data can be a key tool for enhancing organizational performance. So, what happens when you take the six tips above and apply them to your business model? Our opinions are our own. Instead, set your business apart by offering something that is not available anywhere else in the local market. An array of technologies has come together to make real-time analytics possible for companies both big and small. Most fitness facilities offer more than one service to their members. A market full of businesses, that offer the exact same product, means that consumers will be satisfied with that product regardless of where they get it. By utilizing the fitness business software provided by Exercise.com, you can easily keep track of membership, sales, personal training, group fitness classes, and much more all in one place. This difference comes in the form of offerings or quality but both set the company apart from its competitors. Our partners do not influence our content. If you want to give your business a competitive advantage, request a demo of our fitness business management software to see how we can help. A company’s search for competitive advantage through information technology often also spreads to affect industry structure as competitors imitate the leader’s strategic innovations. Gaining competitive advantage is key to increasing a business' market share and ultimately profits, but what is competitive advantage and how does it apply to today's globalized economy? HIRE RIGHT PEOPLE. Legacy systems and incompatible standards and formats often prevent the integration of data and the application of the more sophisticated analytics that create value. How to Govern, Manage, and Work Amid COVID-19, How to Sell When the World Is Upside Down, Maintaining Professional Networks in Good Times and Bad, Understanding the Link Between Crisis and Innovation. After surveying a wide range of industries, we find that information technology is changing the rules of competition in three ways. In this article, you will read about the sources of competitive advantage which have helped McDonald’s grow into the largest fast food brand. © Copyright 2018 Ivey Business School Foundation. But if you are looking for a durable truck you wouldn’t go to a Porsche dealer… A competitive advantage is an advantage gained over competitors by offering customers greater value, either through lower prices or by providing additional benefits and service that justify similar, or possibly higher, prices. How to create a competitive advantage. The first two steps, understanding your competition and understanding the consumer, are useless if you don’t understand how to apply it to your own business. The use of Big Data — large pools of data that can be brought together and analyzed to discern patterns and make better decisions — will become the basis of competition and growth for individual firms, enhancing productivity and creating significant value for the world economy by reducing waste and increasing the quality of products and services. Overcoming these challenges will help organizations turn their project management into a competitive advantage. Competitive advantage may be the single factor to attaining success and business sustainability. Paying for this ad space can provide an advantage for your business because they are not contained only to your followers. Any business that doesn’t use business intelligence today will fall behind in this tough, competitive business environment. All strategy must start from the Board and CEO and cascade on down. C. there are many alternative ways to use the company's scarce resources. Facebook and Instagram, for example, offer a wide variety of benefits for fitness business at any stage of development. 1. For example, let’s say you are a personal training studio that offers fitness assessments for $25, training sessions for $60, and smoothies for $5. The general concept of the competitive advantage is a reasonably straightforward. As information becomes more readily accessible across sectors, it can threaten companies that have relied on proprietary data as a competitive asset. By Gordon Tredgold, Founder and CEO, Leadership Principles @gordontredgold. Of course, if you want your post to appeal to a more specific target audience, these social media giants offer the chance for your post or ad to appear before a more specific group, for a small fee. Companies selling physical goods also use experiments to aid decisions, but Big Data can push this approach to a new level. Television or newspaper ads mean working with employees at those organizations to develop content, whereas social media advertisements can be easily done in-house. But achieving this boost in productivity will require the combination of data from different sources  – often from organizations that have no history of sharing data at scale. You will either identify things you are already doing well to meet consumer needs and differentiate from your competition or find out what you need to change to make it happen. 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