Infographic: The current state of big data adoption by retailers

A 2011 McKinsey report stated that retailers’ use of big data could increase operating margins by more than 60%. However, a survey of these retailers’ exposure to big data found that most retailers had been exposed to big data for no more than three years.

However, 66% of retailers recognize that big data is a valuable raw material, and 72% believe that using big data can extract more value from social platforms; retailers say that big data can allow them to sell products in a completely different way. Potential benefits include: better understanding of user purchases, purchase decisions, and key influencing factors; the ability to customize promotions for users; the ability to evaluate the effectiveness of promotions in real time; changing the way products are displayed in different locations; 41% of retailers believe that big data will create price pressure

This can also bring benefits to potential customers, including: consumers can get more personalized promotions; provide analytical shopping tool support; make prices more transparent; be able to learn more from reviews; 59% of retailers believe that big data enhances users' marketing capabilities

Despite the obvious benefits of big data, less than 20% of retailers are using big data, and 21% have plans to start using it.

The biggest difficulties for retailers in applying big data are the inability to see the value of data to business; technical limitations and lack of skills to analyze big data; inability to hire employees to analyze and understand big data; and concerns about infringing on user security and privacy.