{"id":9734,"date":"2020-09-18T06:52:58","date_gmt":"2020-09-18T06:52:58","guid":{"rendered":"https:\/\/www.experfy.com\/blog\/?p=9734"},"modified":"2023-11-06T17:12:31","modified_gmt":"2023-11-06T17:12:31","slug":"why-your-startup-needs-data-science-to-survive-this-crisis","status":"publish","type":"post","link":"https:\/\/www.experfy.com\/blog\/bigdata-cloud\/why-your-startup-needs-data-science-to-survive-this-crisis\/","title":{"rendered":"Why your Startup Needs Data Science to Survive this Crisis"},"content":{"rendered":"\t\t
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COVID-19 has impacted every business. Here\u2019s how data can help you come out stronger and\u00a0thrive<\/strong><\/h4>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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The spread of coronavirus is delivering a massive blow to the global economy. The lockdown and work from home restrictions have forced thousands of startups to halt expansion plans, cancel services, and announce layoffs.\u00a0<\/p>\n\n\n\n

The virus is also having an impact on startup funding and deal activity, with seed-stage deals taking a\u00a0serious blow<\/a>\u00a0this quarter. It\u2019s clear that the startup community is now facing and will continue to confront an existential crisis in the months to come.<\/p>\n\n\n\n

To stay in business, founders are looking for ways to maintain liquidity, better understand their demand-supply situation, identify operational efficiencies with a remote workforce, and scout for opportunities to pivot.\u00a0<\/p>\n\n\n\n

If data is the lifeblood of every business, it\u2019s all the more critical for startups looking to weather a downturn. Here\u2019s how startups can use data and analytics to power through the current crisis.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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1.\u00a0Data shows how your customer\u2019s buying patterns are changing<\/em><\/strong><\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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McKinsey found that American consumers are drastically\u00a0changing<\/a>\u00a0their spending and behavior, despite expressing optimism about the economy. The survey found that 43% of the people are delaying purchases due to the uncertainty.<\/p>\n\n\n\n

Even as spending shifts to household essentials and remote channels in the short-term, consumer behavior is expected to be permanently reshaped toward online consumption. Startups must keep their finger on the pulse of changing consumer sentiment.<\/p>\n\n\n\n

While market research reports and surveys share useful insights, they are lag indicators, at best. Look for alternate public data sources that can give you live or early signals. For example, Kinsa Health found that digital thermometer readings from their online-enabled devices provided\u00a0insight<\/a>\u00a0into the progression of COVID-19 across cities.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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OpenTable, an online restaurant aggregator,\u00a0<\/span>published<\/a>\u00a0data that gave early indications of the falling demand for dine-in bookings. Public search queries on Google reveal insights on what millions of consumers want in a geographical area, right now.<\/span><\/p>\n

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For example, most people in the United States want to know when Disney will reopen and how soon the Nintendo Switch will be in stock. Apart from the availability of toilet paper, they are equally worried about\u00a0Roblox<\/a>\u00a0permanently shutting down.<\/p>\n

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Data helps you understand how your workforce is coping with the crisis<\/em><\/strong><\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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As employees are instructed to work from home, millions of people are thrown into a work environment they\u2019re not used to, with pressures they didn\u2019t have before. While interruptions and technology challenges are short-term irritants, the biggest\u00a0mental health risks<\/a>\u00a0are due to isolation and burnout.<\/p>\n\n\n\n

In times of uncertainty like these, data can help companies understand how their workforce is coping with the crisis. Rather than wait for employee surveys or traditional modes of feedback, natural language can provide\u00a0vital clues<\/a>\u00a0to employee wellbeing.<\/p>\n\n\n\n

James W. Pennebaker, a social psychologist at the University of Texas at Austin\u00a0found<\/a>\u00a0that the passive parts of our speech reflect our mental state. For example, people who are less happy tend to use personal pronouns more, that is, \u201cI\u201d or \u201cme\u201d instead of \u201che\u201d or \u201cshe.\u201dhttps:\/\/www.linkedin.com\/embeds\/publishingEmbed.html?articleId=6932063732916984309<\/p>\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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StatusToday has built an AI\u00a0solution<\/a>\u00a0that connects to the email, chat and communication systems of companies to identify if employees are on the verge of burnout. Needless to say, there is a thin line between invasion of privacy and insights that can ensure workforce wellbeing. Organizations need to take their team into confidence and be transparent about how the insights will be used to avoid adding the additional stress of being monitored.<\/p>\n\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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3.\u00a0Data helps you drive efficiencies and adapt your business offerings<\/em><\/strong><\/h3>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
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The COVID-19 crisis has hit every industry, without exception. However, there are certain sectors such as aerospace, travel, insurance, and oil and gas that\u00a0may not rebound<\/a>\u00a0until 2021. Among the impacted sectors, there is considerable variation based on the offering, business model and channels of sale and consumption.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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Data can help drive efficiencies in your business in the face of uncertainty. Ladley and Redman\u00a0<\/span>suggest<\/a>\u00a0the use of structured problem-solving by employing six data value modes.<\/span><\/p>\n

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These value modes are scenarios that cover the most critical aspects of the business value chain \u2014 product enrichment, market intelligence, competitive position, human capabilities, process improvement and risk management.\u00a0This framework lets you identify the potential and limitations of data for your business by driving the right conversations with stakeholders<\/p>\n

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For example, when a regional bank lost many of its high-wealth clients, it turned to the data value modes. By systematically collecting data and analyzing them, the bank found that clients were unhappy with their transaction execution and reporting. By investigating two of the value modes, the bank rolled out process improvements that led to market share recovery.<\/p>\n\n\n\n

What if your business offerings need a fundamental change to tide over the current crisis? That\u2019s another area where data can come to your aid. Amidst the current economic gloom, there are companies that have retained customers or acquired new ones by adapting their business model. With a strong uptick in consumption-at-home, companies are experimenting with a rapid adoption of online channels.\u00a0<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t

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For example, fitness studios and gyms are\u00a0<\/span>battling<\/a>\u00a0to stay relevant by going digital. Businesses such as these are built with a traditional on-premise model, and they need new capabilities to engage and retain customers remotely. They must learn to embrace data and use analytics to gauge\u00a0<\/span>customer experience<\/a>\u00a0and improve online engagement levels.<\/span><\/p>\n

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Startups can take lessons from digital native companies like Netflix, which built its business around\u00a0user analytics<\/a>. Netflix has been strengthening its leadership position with continuous digital innovation. Recently, it rolled out\u00a0Netflix Party<\/a>, a fun way to watch movies together, amidst social distancing, to make up for lost movie nights with friends.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t

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Adopt a data-driven approach to come out stronger from the\u00a0crisis<\/em><\/strong><\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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As you assess and respond to the changing business priorities, combine internal data insights with the intelligence from public data sources.<\/p>\n\n\n\n

Tap into digital tools and inferred signals to support and empower your teams. Use the six data value modes framework to define how data can help adapt your business strategy. For the best outcome from data initiatives, ensure you have a balanced\u00a0data science team<\/a>\u00a0and promote collaboration with the business stakeholders.<\/p>\n\n\n\n

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It is not the strongest of the species that survive, nor the most intelligent. It is the one that is most adaptable to change.<\/p>\n<\/blockquote>\n\n\n\n

Charles Darwin\u2019s theory of evolution holds a critical lesson for companies looking to weather this crisis. It is not the strongest of the species that survive, nor the most intelligent. It is the one that is most adaptable to change. Founders who are quick enough to use the insights from data to respond, adapt and evolve their startups will come out stronger.<\/p>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

If data is the lifeblood of every business, it\u2019s all the more critical for startups looking to weather a downturn. Here\u2019s how startups can use data and analytics to power through the current crisis. <\/p>\n","protected":false},"author":315,"featured_media":9730,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","footnotes":""},"categories":[187],"tags":[94,472],"ppma_author":[1994],"class_list":["post-9734","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-bigdata-cloud","tag-data-science","tag-startups"],"authors":[{"term_id":1994,"user_id":315,"is_guest":0,"slug":"ganes-kesari","display_name":"Ganes Kesari","avatar_url":"https:\/\/www.experfy.com\/blog\/wp-content\/uploads\/2021\/05\/Ganes_Kesari-150x150.jpeg","user_url":"http:\/\/gramener.com","last_name":"Kesari","first_name":"Ganes","job_title":"","description":"Ganes Kesari is the Co-founder and Chief Decision Scientist at Gramener<\/a>, a data science company that helps organizations present data insights as stories. He advises executives on data-driven leadership and helps organizations adopt a culture of data for decision-making. He is a TEDx speaker and Contributor to Forbes and Entrepreneur. Find his latest work here<\/a> and reach out to him on LinkedIn<\/a>, where he shares insights regularly."}],"_links":{"self":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/9734","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/users\/315"}],"replies":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/comments?post=9734"}],"version-history":[{"count":5,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/9734\/revisions"}],"predecessor-version":[{"id":33916,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/posts\/9734\/revisions\/33916"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/media\/9730"}],"wp:attachment":[{"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/media?parent=9734"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/categories?post=9734"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/tags?post=9734"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.experfy.com\/blog\/wp-json\/wp\/v2\/ppma_author?post=9734"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}