As a consultant helping small and medium businesses succeed, I often advise clients on utilizing business intelligence (BI) to optimize operations and strategy. The data and insights BI provides is invaluable for entrepreneurs looking to scale intelligently.
Below I‘ve compiled 15 must-know BI statistics that demonstrate the growing importance of data-driven decision making for SMBs.
Key Takeaways on Business Intelligence
- 95% of enterprise software vendors consider cloud BI to be essential, according to TechJury. This highlights the strategic value of timely data insights from the cloud.
- SMBs increased their use of data analytics by 49% after COVID, based on survey data from QuickBooks. The pandemic accelerated BI adoption.
- Per LinkedIn‘s 2022 Emerging Jobs report, demand for data scientists outpaced supply by 3x in 2020. I‘ve seen this shortage myself, making quality analytics talent hard to find.
- According to Dresner Advisory Services, businesses see a 127% ROI increase from BI solutions within 3 years. The data shows BI delivers major value, yet many SMBs are slow to adopt it.
- Grand View Research projects the BI market will reach $43 billion globally by 2028. As an advisor, I‘ve seen BI shift from a "nice-to-have" to a "must-have" for small business competitiveness.
Current State of Business Intelligence
- Just 27% of leaders say they can effectively translate data into action, an Economist survey found. My clients often struggle with this too, so I provide hands-on guidance to improve their data fluency.
- A Deloitte study revealed only 20% of executives have fostered a data-driven culture. Changing minds and processes to become insights-led remains an obstacle for many businesses I work with.
- On average, companies use 3.8 different BI solutions according to TrustRadius. I counsel clients to avoid overcomplicating their stack – focus on 1-2 core, integrated BI tools optimized for your needs.
- North America accounted for 30.9% of the global BI market share in 2022 per Gartner. However, adoption is rising quickly across the Asia Pacific region as well, as I‘ve observed working with small business clients internationally.
Overcoming BI Challenges
- From 2020 to 2022, enterprise data volume grew from 1 petabyte to 2.01 exabytes, a Statista report showed. I guide clients on cost-effective cloud data management to handle the explosion of new data.
- Right now, demand for data scientists exceeds supply by over 3x according to LinkedIn. For SMBs struggling to hire analytics talent, I advise upskilling existing staff and supplementing with expert consulting partners.
- The average salary for a business intelligence analyst is around $72,000, according to compensation data from PayScale. However, specialists with advanced skills in AI/ML, dashboard design, and data storytelling can earn over $100k.
- Per an Insight222 survey, 75% of analytics projects take 3-6 months longer than anticipated. I set realistic timelines with clients to avoid analytics initiatives stalling.
Key Takeaway for SMBs
The takeaway from these statistics is that BI is becoming essential to compete as a modern small business. Turning data into insight delivers tangible benefits, from optimized operations to better-served customers. However, realizing the full potential of BI remains challenging. Entrepreneurs must invest time and resources into cultivating a truly data-driven culture. With the right talent, technology, and strategic vision, BI can provide the intelligence to drive growth and innovation for your SMB.