How to Harness Data to Improve Customer Service


Share on LinkedIn

Data is everything, and these days, it’s easier than ever to access said data and use it to personalize experiences, improve customer service, and create more effective sales strategies. The data available and the devices that collect and hold it, such as data centers, are beneficial to both private parties and companies alike. While the available data is incredible and has a lot of powerful uses, if used improperly it can lead to serious consequences, (like the hearing held for Facebook questioning their use of data). That doesn’t mean you should avoid using it altogether, though—when collected and used within the laws and guidelines provided, it can revolutionize your business.

Often, data is used to help business owners and marketers narrow down their target audience, reach those specifically interested in their products and services, and convert them into customers for a more optimized ROI. However, data has many other uses in business, including improving and providing top-notch customer service. By using data center monitoring tools to help reduce human error and downtime and making the most of the data you collect, you can improve your customer service, potentially increasing customer loyalty and your bottom line.

Here are just a few ways that you can use data to improve customer service:

You Can Narrow Down Your Target Audience

Knowing your target audience is key to running a business. When you know your target audience, you know what kind of message to use to reach them and encourage conversions. Even if you think you know your target audience well, there’s always room for improvement, and data can step in and help you identify where you can improve. Data can give you insight into the shopping and purchasing habits of different demographics including gender, age, and even region, in turn helping you narrow down your target audience and giving them what they want, no matter what stage of the sales process.

You Can Identify the Customers’ Pain Points

Collecting and using the right data can help you identify the pain points your customers are experiencing and help you know what you need to improve. For example, as customers express their frustrations about your products and point out where they are falling short, (even if they aren’t expressing it directly to you), you can use data to collect that information and, in turn, get more insight into what you’re doing right and what your customers feel you lack. With that insight, you can then make improvements and changes to make the best version of your product possible without waiting for complaints to come in.

You Can go Through and Understand the Full Purchase Journey

Too often, businesses don’t put themselves in their customers’ shoes and create a purchase journey that best fits their own needs. They aren’t the ones making purchases, though—the customers are. This means that it’s important to create a purchase journey that is ideal for the customer and will provide them the best experience possible, but without fully understanding the purchase journey, that’s hard to do. Without data, that is.

Data makes it possible to understand what customers have to go through and where the friction points are without real-time interaction. Data allows you to watch behaviors and trends that lead up to, occur during, and happen after purchases, giving you better insight into the purchase journey.

You Can Personalize Each Customers’ Experience

These days, personalization and customization are a big part of the consumer experience, and data is a major factor that makes that personalization possible. Instead of getting generic emails and a wide range of ads, data makes it possible to send customers personalized emails with tailored ads that are specific to the items they’ve expressed interest in. It can be hard to give each customer a personalized experience without working with them face to face, but thanks to data, it’s easier than ever before and helps you create a more meaningful relationship with each of the customers that you have.

You Can Better Plan Ahead

To successfully run a business, there must generally be a solid plan for the future and goals for the company to work toward that will help them develop and grow as they need to. While goals and objectives may change over time as the market changes and as old goals are met and surpassed, new goals must continually be set, and new plans must be put in place to ensure that a business can keep moving forward and achieving results. Thanks to data, it’s easy to plan ahead and continue improving your business for continued development and success. As you collect and analyze data about how your business is performing, where you need to improve, and how to better cater to customers, you can make plans and set goals that can help ensure your company’s continued development.

In Conclusion

Data is a powerful tool that, when used correctly, can make all the difference to a business. Not only can it help you improve the customer service you provide, but by doing so, it enables you to improve your company and products, create customer loyalty, and create a clear plan for the future that will keep your business moving forward. Have you begun using data to improve customer service in your business? What are the biggest insights you’ve received so far?

AJ Agrawal
I am a regular writer for Forbes, Inc., Huffington Post, Entrepreneur Media (among others), as well as CEO and Chairman of Alumnify Inc. Proud alum from 500 Startups and The University of San Diego. Follow me on Twitter @ajalumnify


  1. Petabytes of data are generated daily from systems, compute infrastructure, and IoT devices. Historically, much if not all of this data has been ignored and discarded because the ability to store it and analyze it has been cost prohibitive and beyond the human capability to process data fast enough. With computer learning and Artificial Intelligence (AI) a reality, and the affordability of modern storage systems a world of actionable knowledge becomes available to every organization. With this information we have the ability to improve, optimize, and disrupt the markets we serve by delivering unprecedented support and customer service.


Please use comments to add value to the discussion. Maximum one link to an educational blog post or article. We will NOT PUBLISH brief comments like "good post," comments that mainly promote links, or comments with links to companies, products, or services.

Please enter your comment!
Please enter your name here