A new AWS report reveals that highly data-driven SMBs outperform their peers financially and across various business outcomes. These companies also have a more mature data strategy and adopt and use AI at a higher rate.
65% of highly data-driven companies reported significant or moderate financial outperformance compared to 33% of less data-driven companies.
Highly data-driven SMBs outperform less data-driven companies across all surveyed business outcomes, including customer satisfaction, revenue, and process efficiency. The differences are substantial, often exceeding 30 percentage points.
69% of highly data-driven companies have a comprehensive data strategy, compared to 28% of less data-driven companies. A mature data strategy correlates with significantly better financial performance.
Highly data-driven SMBs adopt and use AI at nearly twice the rate of less data-driven companies. They report extensive use of AI in critical functions such as IT operations, cybersecurity, and content creation, with usage rates significantly higher than less data-driven peers.
Highly data-driven companies invest more in technology and processes that enable a common understanding of data, increased data trust, accuracy, and governance. 85% of highly data-driven SMBs have invested in data technologies, compared to 65% of less data-driven companies.
Why do we care?
So now I have the data to back up my statements about data management as a service. And the need to organize data for customers. And the incentives to do so.
When I talk about technology investments that lead to revenue generation, here’s a bright light shining on one. IT service providers must develop expertise in data strategy and AI to meet the growing needs of data-driven clients.
There is a burgeoning market for services that help SMBs become more data-driven. IT service providers can offer consulting on data strategy development, AI implementation, and data technology investments. This niche can be lucrative, given the clear financial and operational benefits outlined in the AWS report.
The evidence from the AWS report makes a compelling case for SMBs to become more data-driven. IT service providers should leverage this trend to offer targeted solutions that help SMBs harness the power of data, thereby driving mutual growth and success.