Big data, It’s a hype and Internet of Things (IoT) that everyone is talking about right now. Some big companies already implemented this new technology into their product, for example Facebook, AirBnb and Tripadvisor.
So what is Big Data? You may ask yourself before when you see this term now and then but just think that maybe this is a really BIG thing and new technology that can change our life.
What is Big Data?
As far back as 2001, industry analyst Doug Laney have defined the now mainstream definition of big data as the three 3Vs of big data: Volume, Velocity and Variety. (adapted from article What Is Big Data? | SAS)
- Volume. Many factors contribute to the increase in data volume. Transaction-based data stored through the years. Unstructured data streaming in from social media. Increasing amounts of sensor and machine-to-machine data being collected. In the past, excessive data volume was a storage issue. But with decreasing storage costs, other issues emerge, including how to determine relevance within large data volumes and how to use analytics to create value from relevant data.
- Velocity. Data is streaming in at unprecedented speed and must be dealt with in a timely manner. RFID tags, sensors and smart metering are driving the need to deal with torrents of data in near-real time. Reacting quickly enough to deal with data velocity is a challenge for most organizations.
- Variety. Data today comes in all types of formats. Structured, numeric data in traditional databases. Information created from line-of-business applications. Unstructured text documents, email, video, audio, stock ticker data and financial transactions. Managing, merging and governing different varieties of data is something many organizations still grapple with.
So from the definition above, i can say that mostly is the same concept as below, i called it DAIA:
DATA – ANALYZE – INTEPRET – ACTION
Should we start with Small Data First?
But Big Data is too big for us to get started, especially for small and medium sized business, they just do not have enough budget for that.
What should they do? Here comes the Small Data and we should really get our hands on that especially the online business that always interact with customers and the decision or response need to be real time based on customers actions and preference.
Small data is a dataset that contains very specific attributes. Small data is used to determine current states and conditions or may be generated by analyzing larger data sets. (Forbes.com – Forget Big Data – Small Data Is Driving The Internet Of Things)
A real example is mobile apps marketplace. If the marketplace have collected every user data and shopping preferences or behavior, then it will definitely has higher conversion rate and sales compare to other competitors. Just imagine, if you are using Apple iPhone 7 with iOS 10, then when you go to this marketplace homepage, it will show all latest recommended and matched version iOS version apps consists of category Games and Travel where you always spent your time there. Furthermore, the top banner is Apple iPhone 8 Groupon ad that is targeted to you. Then when you add to cart and checkout, it will give you 20% discount if you share to your Twitter that have 100k followers.
Start Small, Think Big
I think sometimes in life we just need to start SMALL at the beginning in order for us to see something BIG that we can do.
Just liked what Nathan Barry said in his email newsletter i received few days ago.
The skills you learn from producing the small product will be invaluable for your next big venture.
— Nathan Barry