Playing in Niche Market would Be the Best Way for Startups to Utilize Big Data

Randi Eka - 28 May 2015

Slowly but sure, the implementation of big data technology in various sectors in Indonesia starts being more and more apparent. Even though still being dominated by corporates during their research and development phase, the development seems promising. For DailySocial, the attracting part lies on uncovering the opportunities for innovators and tech-startup players due to the positive growth of big data implementation in Indonesia.

Big data doesn’t have to be massive or related to a complex project with huge system. It may also be referred to simple tasks, such as presenting a solution to SMEs so that they may reach the best market.

Big data solution can be developed and customized at our will so that it may generate a predictive analysis, which can be combined with GIS/Geographic Information System, that SMEs may use to map potential areas according to their needs as well as the trend within the market. The data can be extracted from public resources, like media, social media, the Center of Statistics, and researches .

To dig further on the potential of bif data implementation for startups, DailySocial has recently just completed an interview with PT Telekomunikasi Indonesia’s Project Director Big Data Komang Budi Aryasa.

Question (Q): How is the current growth of big data adoption in Indonesia?

Answer (A): There are more and more companies managing their data for the sake of their own business nowadays. There are three maun activities related to big data implementration. First, big data is used for internal business enhancement. In this regard, big data plays the role of supporting the company’s business. How to reduce customers’ churn and development of company’s infrastructure are ones of the roles.

Second, big data for customer’s experience. Big data can be a supporting element in the presentation of prime services. With a valid user profile, a company then may determine the needs of its users precisely and serve them right. The third would be big data for external customer necessities. Big data is used by other companies so that both sides’ value would go up (both the data server and companies that utilize the data).

To realize all those, there are several challenges that get in the way, with data integration becomes one of them. The integration is related to data sources that come from different places. The next challenge would be the availability of experts, and the last is the availability of the required technology (both hardware and software) to be used as the data storage, processor, and analyst.

Q: Going specifically to the implementation of the public use of big data, such as in the development of economic condition within the society, has such solution been available in Indonesia?

A: There has been some cases implementing big data, but the number is still small. One of those is the ship and fishery monitoring. The goal is of course to provide an info regarding our sea condition, monitor any exploitation done by fishermen (especially those huge foreign ships). Then, the info regarding the market and fishery exports come in the line.

Recently, some startups also did an experiment of utilizing data analytics in agriculture. They put sensors in farms to get the image of soil fertility, water sufficiency, weather, and the plants’ growth, and other stuff. The generated data will then be sent to the information center to be anayzed later. The research then reaches the laboratorium test phase, yet been ready to be comercially unveiled.

Q: What must someone prepare to dig the potential of big data?

A: The very first component to be prepared is the competence/people, especially data scientists who can provide insight. In early phase, we can rent the platform (hardware/software). We can then later develop the platform/system, and collect/crawl valuable data. It all should, of course, be wrapped in a business spirit to generate equal revenue.

Q: What are the possible challenges that would likely to appear while developing big data-based solution?

A: There will always be challenges if four aspects, which are Data, People, Process, and Technology. People is the most crucial out of those four. Looking for a competent data scientist or a person who understands analytic data (business, statistics, math, and IT) inside out is really challenging. Thus, a team of data scientists will be priceless.

The second challenge is related to the data integration and cleansing. The location of the data sometimes troubles the integration process, while a lot of data still need to be cleansed. These two processes take 80 percent of the total time required for data analytics.

Q: Is there any tips on suggested big-data solution that tech-startups should develop?

A: Creativity controls everything. However, doing all the stuff to realize our creative idea will surely be extra difficult and, oftentimes, pricey. Therefore, collaboration is the main theme. The presence of public API (Application Program Interface) from social media network and several external data enables tech-startup players to evaluate the validity of assumption/idea way easier.

Just look at Twitter, Facebook, and even Youtube. They can present the estimation of market opportunities by analyzing the posted posts/tweets/comments. The potential would be limitless. Judging on those detail, I would say playing in niche market is the best way for startups.

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