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Big data and analytics are used to provide consumers with which two things?
ASolutions they seek and products they do not know they want
BLower prices on every item and free delivery of the goods
CLonger warranties on goods and a wider choice of colors
DFaster shipping of orders and a simpler way to pay online
Answer & Solution
Correct answer: A. Solutions they seek and products they do not know they want
1. Big data lets firms read what a consumer is searching for across separate activities.
2. A shopper looking for a novel and for a stain remedy can be shown both at once.
3. Analytics therefore provide consumers with the solutions they are looking for.
4. They also surface products that consumers do not yet know they want.
5. Price cuts, warranties and shipping speed are not what analytics themselves deliver.
6. The value of the approach is relevance rather than any change to the offer terms.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 11 "Creating Products and Pricing Strategies to Meet Customers' Needs", section 11.10 Trends in Developing Products and Pricing_
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