Why is Data Science a Need for Startups?

by December 26, 2019

Most companies today, both large and small, are looking increasingly at leveraging easy-to-use technology to capitalize on and reap its rewards. But as data generated by companies is rapidly growing, getting valuable, actionable insights from that is a bit more intricate. That is where Data Science comes in. This is now not just for tech companies anymore and moved to manufacturing to retail and healthcare.

All industries are using data science at a rapid pace. For startups, several data scientists have to develop the architecture from scratch, and deploy that while larger industries may not have to build products from scratch due to their previous experiences and wealth of services.

In a startup, data scientists have to fulfill their responsibilities by recognising key business metrics to track and envisage, creating predictive models of customer behavior, running experiments to test product changes, and developing data products that enable new product features.

 

Considering Predictive Models 

To succeed nowadays, companies need to pin down the personalization piece. And in this regard, one of the major things startups must consider is how they can serve their customers. Data science tools can be helpful here as these are able to extract data, build data pipelines, visualize key data findings, predict the future with existing models, create data products for startups, and test and validate to improve performance.

Personalization starts from looking at past behaviors and how they react in future behaviors. This is the process of predictive modeling that discusses approaches for supervised and unsupervised learning and presents churn and cross-promotion predictive models and methods for assessing customer behaviors.

Data Science also requires Machine Learning as it is used to make predictions and make a classification of the data. Predictive modeling is beneficial for predicting users’ behavior. It assists startups to tailor their products based on how the user will make use of their products, which will then be helpful in predicting their behaviors.

 

Developing Data-Driven Products

Data Scientists can contribute to a startup by building a data-driven approach that can be leveraged to advance products. And to do so, data scientists need to shift from model training to model deployment. A range of tools out there that can also help startups to develop new data products.

Most of the time, passing on a report of the data or specification of the model will not ensure the operational issues of the model. Thus, integrating the data specifications in a real-life product will aide to address significant issues and prove beneficial to the data science team of a startup.

With data science, startups can automate tasks much faster and more efficiently. Also, data scientists can be helpful in boosting the quality of the product as data is the linchpin of the startups.