Resources > Articles

Looking Ahead: Data Trends That Will Dominate 2023

Woman Examining Data Trends That Will Dominate 2023

Data analytics has revolutionized business decision-making, unleashing a storm of new opportunities impacting every part of the business, from identifying customers to minimizing churn. With vast streams of information now to be mined, businesses are ready to reap the rewards that come with this tidal wave of change. 

According to a joint report by Informatica and Capgemini, 27% of business executives say that their company’s big data initiatives are profitable

Despite the massive growth and impact of big data, business leaders still have concerns when it comes to effectively integrating data into decision-making, lack of technical expertise, and proliferation of data silos. 

As we move into the new year, it’s time to start thinking about actionable trade tips to make data more accessible and scalable for enterprises in 2023 and beyond.

 

1. The Growth of AI and Machine Learning

AI and machine learning is already significantly impacting the world of data. But as these technologies continue to evolve, their impact is only going to grow. 

According to Gartner, AI systems will “drive growth and innovation while coping with fluctuations in global markets.

We’ll see more AI-powered analytics tools and applications that make it easier for businesses to make sense of their data. We’ll also see more machine-learning models that are able to identify patterns and correlations that humans would never be able to find on their own. 

With the increasing availability of data and computing power, more businesses are turning to AI to help them make sense of it all. We can expect to see more AI-powered applications and services, as well as an increase in the use of machine learning.

 

2. Data-Driven Business Decisions Across Industries 

Business leaders are already applying data science to minimize operational risks and waste with products. This trend is quickly gaining traction as more industries incorporate data science to minimize risks and costs. 

Here are some ways data science is being used across industries: 

  • Increasing revenue by improving coverage models and improving the identification of prospective buyers 
  • Increasing conversion rates by identifying the order of the most effective communications and identifying the buying criteria of prospective buyers 
  • Minimizing the likelihood of lawsuits and privacy concerns 
  • Minimizing the likelihood of defaults
  • Minimizing the time it takes to revolve an issue

 

3. Every Company is a Data Company  

Soon, data itself will become a primary product for nearly every business, and data analytics and data science will form the core of every company’s business model. 

According to Wall Street Journal, 

“There was a time when the primary role of leaders at most companies was management. The technology required to do the work of a company could be bought or siloed in an IT department, treated more as a cost center than a source of competitive advantage. But now we’ve entered a period of upheaval driven by connectivity, artificial intelligence, and automation. The changes affect the world of business so profoundly that every company is a [data] company.”  

Today, the idea of a technology executive becoming CEO of an apparel company is relatively novel, but that won’t be the case for long. As businesses become more reliant on data, analytics, AI, automation, and IoT technology, we’ll begin to see more technology-savvy executives infiltrating top leadership positions outside of the tech industry. This shift is taking place because, increasingly, every company is a data and analytics company. 

 

4. The Piling Costs of Data Security

As data becomes increasingly valuable, so does data security. In 2023, we can expect to see more companies invest in security measures to protect their data from cyber-attacks. We can also expect more regulation around data privacy as governments attempt to keep pace with the ever-changing digital information landscape. 

  • 4.35 million USD was lost in 2022 due to data breaches – Due to the neglect of data strategies by businesses, organizations must ask more questions about data security.
  • Data needs to be stored securely to protect it from unauthorized access and ensure that it can be used effectively.

 

5. Predict Customer Behavior with Data

Big data is only going to get bigger in 2023. With more and more businesses collecting data, the opportunity to predict customer behavior is stronger than ever before. This means that we can expect to see more investment in big data infrastructure and more companies turning to cloud-based solutions.

Many companies have already taken the plunge and use data-based decision-making as a primary driver of their business. 

  • USAA SafePilot is one of many insurance programs that offer participants insurance premium rebates for safe driving, as determined by mobile telematics.
  • Netflix’s recommendation engine filters thousands of titles using recommendation clusters based on user preferences. 80% of Netflix viewer activity is driven by personalized recommendations, contributing to a 93% retention rate. Amazon Prime Video uses similar technologies.
  • Airbnb leverages A/B testing, image recognition and analysis, and natural language processing to determine which photos work best, test ranking algorithms, and understand users’ feelings behind reviews.

 

Conclusion

These are just a few of the data trends that we’ll be seeing in 2023. As we move into the new year, it’s important to stay ahead of the curve and keep an eye on these trends so you can make sure your business is prepared for what’s ahead.

 

Leverage Data for Business Decisions 

Data Science for Business Leaders is designed for business leaders to partner with data professionals, learn what problems to solve with data, and how to leverage the findings to make better decisions. 

  • Focus on data projects that drive business impact 
  • Gain better outcomes through stronger partnerships 
  • Identify the fastest path to actionable insights 
  • Champion data-driven decision making 

>> Learn More 

Author

  • Pragmatic Editorial Team

    The Pragmatic Editorial Team comprises a diverse team of writers, researchers, and subject matter experts. We are trained to share Pragmatic Institute’s insights and useful information to guide product, data, and design professionals on their career development journeys. Pragmatic Institute is the global leader in Product, Data, and Design training and certification programs for working professionals. Since 1993, we’ve issued over 250,000 product management and product marketing certifications to professionals at companies around the globe. For questions or inquiries, please contact [email protected].

Author:

Other Resources in this Series

Most Recent

A graphic illustrating that The Data Incubator is now Pragmatic Data from Pragmatic Institute.
Article

The Data Incubator is Now Pragmatic Data

As of 2024, The Data Incubator is now Pragmatic Data! Explore Pragmatic Institute’s new offerings, learn about team training opportunities, and more.
Category: Data Science
Computer with image detailing many images denoting data points floating on and around the screen
Article

10 Technologies You Need To Build Your Data Pipeline

Many companies realize the benefit of analyzing their data. Yet, they face one major challenge. Moving massive amounts of data from a source to a destination system causes significant wait times and discrepancies. A data...
Man with paper sits with college behind computer screen with code on it
Article

Which Machine Learning Language is better?

Python has become the go-to language for data science and machine learning because it offers a wide range of tools for building data pipelines, visualizing data, and creating interactive dashboards that are smart and intuitive. R is...
Category: Data Science
A data scientist creating visualizations to communicate information, pointing to charts on a printed piece of paper.
Article

Data Storytelling

Become an adept communicator by using data storytelling to share insights and spark action within your organization.
Category: Data Science
A smartphone displaying ChatGPT AI against a black background.
Article

AI Prompts for Data Scientists

Enhance your career with AI prompts for data scientists. We share 50 ways to automate routine tasks and get unique data insights.
Category: Data Science

OTHER ArticleS

A graphic illustrating that The Data Incubator is now Pragmatic Data from Pragmatic Institute.
Article

The Data Incubator is Now Pragmatic Data

As of 2024, The Data Incubator is now Pragmatic Data! Explore Pragmatic Institute’s new offerings, learn about team training opportunities, and more.
Category: Data Science
Computer with image detailing many images denoting data points floating on and around the screen
Article

10 Technologies You Need To Build Your Data Pipeline

Many companies realize the benefit of analyzing their data. Yet, they face one major challenge. Moving massive amounts of data from a source to a destination system causes significant wait times and discrepancies. A data...

Sign up to stay up to date on the latest industry best practices.

Sign up to received invites to upcoming webinars, updates on our recent podcast episodes and the latest on industry best practices.

Subscribe

Subscribe

Training on Your Schedule

Fill out the form today and our sales team will help you schedule your private Pragmatic training today.