WHY TREND ANALYSIS IS CRUCIAL FOR YOUR BUSINESS

Sponsee Team

Marketing has changed a lot over time and it has transformed the way we do business with each other. The times have changed and so have we. If you’re wondering how businesses can make use of their past history to make insightful decisions for the future, read on. 


This is a marketing approach known as trend analysis. Trend analysis is about using historical data to predict the future. To put it simply, it involves comparing business data over a period to identify certain patterns, otherwise known as trends.


So, why are trends important?


1. Understanding the target audience

There’s nothing better than clearly identifying your target audience and their desires. Selling a product or service becomes a lot easier when you understand your audience well enough. Gathering data is critical as new patterns emerge over time. 


2. Measuring financial performance

Trend analysis is all about the comparative study of business in the past vs the present. This also helps in studying the financial performance of the business over time. Decisions can be made efficiently and effectively, which helps in reducing cost and risk at once.


3. Achieving Better ROI

In a business environment, getting more than you have invested is what takes you to the next level. Trend analysis can help you in tracking your investments and optimize ROI as per your needs. You can always make a quick decision with a clear outlook towards your business. For example, Google Analytics lets you analyze the return on your marketing & investments. It is a free ROI tool that helps you get customized reports for developers, see the user acquisition trend, and work on retention.


Trends help you to identify areas of your business that are performing, as well as, areas for improvement. In fact, it is next to impossible to strategize without gathering data of the past trends and analyzing the future. It’s not too late to start taking a look at your data and making the right decisions for your business.


Useful tools for trend analysis: 


  1. Google Trend

Google Trends allows you to ‘explore what the world is searching’ by entering a keyword or topic into their search engine which helps you in deciding how to strategize your content.

 

  1. Hashtagify

Hashtagify helps you identify the right hashtags for your industry based on popularity, correlations, influencers, and market trends.


  1. Talkwalker

Talkwalker is well known for the free social search options, it uses advanced AI to find the most relevant information, monitoring results in real-time with access to two years of historical data


  1. Similarweb

Similarweb is a platform that illustrates what real users are searching for, exposes digital trends, and reveals referral traffic shares. 


There are many tools available that help us look into the future of a market and predict profitability and trends.The right tool will help you gather accurate and relevant data quickly and effectively. 

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