{"id":2322,"date":"2019-04-11T11:17:48","date_gmt":"2019-04-11T11:17:48","guid":{"rendered":"https:\/\/customlytics.com\/should-you-invest-in-a-data-warehouse\/"},"modified":"2021-11-26T14:28:14","modified_gmt":"2021-11-26T14:28:14","slug":"should-you-invest-in-a-data-warehouse","status":"publish","type":"post","link":"https:\/\/customlytics.com\/de\/should-you-invest-in-a-data-warehouse\/","title":{"rendered":"Should you invest in a data warehouse?"},"content":{"rendered":"\n<div class=\"wp-block-media-text alignwide is-stacked-on-mobile\" style=\"grid-template-columns:23% auto\"><figure class=\"wp-block-media-text__media\"><img fetchpriority=\"high\" decoding=\"async\" width=\"250\" height=\"250\" src=\"https:\/\/customlytics.com\/wp-content\/uploads\/2019\/06\/martin-circle.png\" alt=\"\" class=\"wp-image-3448 size-full\" srcset=\"https:\/\/customlytics.com\/wp-content\/uploads\/2019\/06\/martin-circle.png 250w, https:\/\/customlytics.com\/wp-content\/uploads\/2019\/06\/martin-circle-150x150.png 150w\" sizes=\"(max-width: 250px) 100vw, 250px\" \/><\/figure><div class=\"wp-block-media-text__content\">\n<p>\u201cA data warehouse serves as a source of truth for your company.\u201d<\/p>\n\n\n\n<h3 class=\"wp-block-heading\">Author:<strong> Martin Schneider<\/strong><br\/>&#8211; <em>Former Big Data Engineer at Customlytics<\/em><\/h3>\n<\/div><\/div>\n\n<p>Every big company has it and is proud of having it, and speaks about it:\u00a0<strong>a data warehouse.\u00a0<\/strong>Such as\u00a0<a href=\"https:\/\/eng.lyft.com\/\">Lyft Engineering Blog<\/a>,\u00a0<a href=\"https:\/\/medium.com\/netflix-techblog\">Netflix<\/a>,\u00a0<a href=\"https:\/\/labs.spotify.com\/\">Spotify<\/a>\u00a0and\u00a0<a href=\"https:\/\/medium.com\/airbnb-engineering\">Airbnb<\/a>.<\/p>\n\n<p>The big question is,\u00a0<strong>why do you need a data warehouse?<\/strong>\u00a0It\u2019s a time saver and makes you efficient and allows you to scale analytics. E-commerce companies such as Amazon, Netflix or Lyft are \u201ctrendsetter\u201d when it comes to using data as a competitive advantage. While doing so they put pressure on their competitors to keep up with them.<\/p>\n\n<p><strong>Something similar is happening in the mobile app industry<\/strong>, independent from the vertical. The market has matured over the last years and data has become the competitive edge for many developers and marketers alike.<\/p>\n\n<h2 class=\"wp-block-heading\">1. The evolution of analytics<\/h2>\n\n<p>All of them have gone a long way from using (many) Excel files until they had their own data warehouse and BI-Tool (see\u00a0<a href=\"https:\/\/medium.com\/@bgweber\">Ben Weber\u2019s Medium post series<\/a>\u00a0or his\u00a0<a href=\"https:\/\/bgweber.github.io\/\">book<\/a>).\u00a0<strong>The demand for data grows as the business does<\/strong>. It allows stakeholders across all functions to make informed decisions to further grow the business.<\/p>\n\n<p>What is an analytics evolution? Well, it\u2019s a scenario where a developer or a marketing manager takes care of ad-hoc data requests issuing a CSV-file for C- or middle-management.\u00a0<strong>When a top-level question displays problems or surprising outcomes it results in an even higher need for data<\/strong>. Management wants to understand the unexpected result and request more data.<\/p>\n\n<p>There will be a point when the time a developer has to spend or a marketer has to wait with data requests has become his full-time job.\u00a0<strong>This would be the time to consider building a data warehouse.<\/strong><\/p>\n\n<h2 class=\"wp-block-heading\">2. Benefits of a dedicated Business Intelligence team<\/h2>\n\n<p>A typical argument against establishing a BI\/A-team is: \u201cWhy should I invest in a data warehouse and a BI\/A-team, which doesn\u2019t bring any value?\u201d Well, this is a valid question. Let me break it to you:\u00a0<strong>a\u00a0Business Intelligence\/Analytics-team is truly not generating any direct profits or return on investment. But if you consider it as an investment into work efficiency and time, it pays off.\u00a0<\/strong><\/p>\n\n<p>Having dedicated analytic resources has the following benefits:<\/p>\n\n<ul class=\"wp-block-list\"><li>Free time for developers pulling data and build reports<\/li><li>Easier and timelier access to data for all stakeholders<\/li><li>Building a scalable and adaptable data structure in order to prevent expensive code refactoring to get the data needed<\/li><li>Minimizing negative impacts on the production server, since data is replicated in the data warehouse<\/li><\/ul>\n\n<h2 class=\"wp-block-heading\">3. Head to the cloud or not?<\/h2>\n\n<p>After you decided to follow the path of building your data warehouse you will be faced with the decision of having a cloud or on-premise solution.<\/p>\n\n<p><strong>Well, for me the answer is quite simple: a cloud solution is the answer.<\/strong>\u00a0Why? Because it scales with your demand and doesn\u2019t require a lot of staff to operate.<\/p>\n\n<p>Another good argument for a cloud solution is the development and further competition in the cloud market.\u00a0<strong>It\u2019s becoming easier and cheaper to build a scalable and maintainable data warehouse.<\/strong>\u00a0Which makes it a viable solution even for small companies.<\/p>\n\n<p>Cloud providers also offer credits, which allow you to build and test your setup during the initial phase:<\/p>\n\n<ul class=\"wp-block-list\"><li><a href=\"https:\/\/aws.amazon.com\/activate\/\">AWS Activate<\/a><\/li><li><a href=\"https:\/\/cloud.google.com\/developers\/startups\/\">Google Cloud Platform<\/a><\/li><li><a href=\"https:\/\/azure.microsoft.com\/de-de\/overview\/startups\/\">Azure Microsoft<\/a><\/li><li><a href=\"https:\/\/developer.ibm.com\/startups\/\">IBM Cloud<\/a><\/li><\/ul>\n\n<p>Now let\u2019s get back to the efficiency argument from earlier.\u00a0<strong>As your company grows you have to incorporate more and more data sources to perform the requested analytics or enrich your data<\/strong>.<\/p>\n\n<p>This quickly becomes a time-consuming and tedious task to do it for every requested report.<\/p>\n\n<p>The natural next step is to<strong>\u00a0automate these tasks<\/strong>. Also, making the data available on demand opposed to on-request, brings you naturally to a data warehouse.<\/p>\n\n<p><strong>A data warehouse serves as a source of truth for your company<\/strong>. It\u2019s the place where all first and third party data is combined and waiting to be analyzed and consumed to generate more insights.<\/p>\n\n<p>An example of third party data is listed below:<\/p>\n\n<ul class=\"wp-block-list\"><li>production server logs<\/li><li>Mobile Measurement Partner (MMP) data &amp;<\/li><li>marketing data<\/li><li>iTunes\/ Google Play stats<\/li><li>Finance data<\/li><li>mapping IP to Geo<\/li><\/ul>\n\n<h2 class=\"wp-block-heading\">4. The basis matters<\/h2>\n\n<p>All data in the world doesn\u2019t help if the data doesn\u2019t provide the answer to your business questions. So\u00a0<strong>defining the right KPIs for your business is crucial<\/strong>\u00a0as deciding for the right technologies.<\/p>\n\n<p>Across a company, different stakeholders require different information at different frequencies or level of detail. All these thoughts should go into the architecture of your data warehouse. It will enhance the latency a stakeholder has to wait until he gets the data required to make a decision.<\/p>\n\n<p><strong>To sum it up: from a technical perspective, a data warehouse is a valuable investment into efficiency.<\/strong><\/p>\n\n<p>For Marketers, a data warehouse is the source of knowledge where they find all information easily they need to make data-driven decisions.<\/p>\n\n<p><em>Curious how data warehousing can help your organization reach its marketing goals? Find more information in\u00a0<a href=\"https:\/\/customlytics.com\/en\/business-intelligence\/\">this article<\/a> or drop us a note at\u00a0<a href=\"mailto:info@customlytics.com\">info@customlytics.com<\/a>.\u00a0<\/em><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The big question is, why do you need a data warehouse? It\u2019s a time saver and makes you efficient and allows you to scale analytics<\/p>\n","protected":false},"author":1,"featured_media":3391,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"content-type":"","ocean_post_layout":"","ocean_both_sidebars_style":"","ocean_both_sidebars_content_width":0,"ocean_both_sidebars_sidebars_width":0,"ocean_sidebar":"0","ocean_second_sidebar":"0","ocean_disable_margins":"enable","ocean_add_body_class":"","ocean_shortcode_before_top_bar":"","ocean_shortcode_after_top_bar":"","ocean_shortcode_before_header":"","ocean_shortcode_after_header":"","ocean_has_shortcode":"","ocean_shortcode_after_title":"","ocean_shortcode_before_footer_widgets":"","ocean_shortcode_after_footer_widgets":"","ocean_shortcode_before_footer_bottom":"","ocean_shortcode_after_footer_bottom":"","ocean_display_top_bar":"default","ocean_display_header":"default","ocean_header_style":"","ocean_center_header_left_menu":"0","ocean_custom_header_template":"0","ocean_custom_logo":0,"ocean_custom_retina_logo":0,"ocean_custom_logo_max_width":0,"ocean_custom_logo_tablet_max_width":0,"ocean_custom_logo_mobile_max_width":0,"ocean_custom_logo_max_height":0,"ocean_custom_logo_tablet_max_height":0,"ocean_custom_logo_mobile_max_height":0,"ocean_header_custom_menu":"0","ocean_menu_typo_font_family":"0","ocean_menu_typo_font_subset":"","ocean_menu_typo_font_size":0,"ocean_menu_typo_font_size_tablet":0,"ocean_menu_typo_font_size_mobile":0,"ocean_menu_typo_font_size_unit":"px","ocean_menu_typo_font_weight":"","ocean_menu_typo_font_weight_tablet":"","ocean_menu_typo_font_weight_mobile":"","ocean_menu_typo_transform":"","ocean_menu_typo_transform_tablet":"","ocean_menu_typo_transform_mobile":"","ocean_menu_typo_line_height":0,"ocean_menu_typo_line_height_tablet":0,"ocean_menu_typo_line_height_mobile":0,"ocean_menu_typo_line_height_unit":"","ocean_menu_typo_spacing":0,"ocean_menu_typo_spacing_tablet":0,"ocean_menu_typo_spacing_mobile":0,"ocean_menu_typo_spacing_unit":"","ocean_menu_link_color":"","ocean_menu_link_color_hover":"","ocean_menu_link_color_active":"","ocean_menu_link_background":"","ocean_menu_link_hover_background":"","ocean_menu_link_active_background":"","ocean_menu_social_links_bg":"","ocean_menu_social_hover_links_bg":"","ocean_menu_social_links_color":"","ocean_menu_social_hover_links_color":"","ocean_disable_title":"default","ocean_disable_heading":"default","ocean_post_title":"","ocean_post_subheading":"","ocean_post_title_style":"","ocean_post_title_background_color":"","ocean_post_title_background":0,"ocean_post_title_bg_image_position":"","ocean_post_title_bg_image_attachment":"","ocean_post_title_bg_image_repeat":"","ocean_post_title_bg_image_size":"","ocean_post_title_height":0,"ocean_post_title_bg_overlay":0.5,"ocean_post_title_bg_overlay_color":"","ocean_disable_breadcrumbs":"default","ocean_breadcrumbs_color":"","ocean_breadcrumbs_separator_color":"","ocean_breadcrumbs_links_color":"","ocean_breadcrumbs_links_hover_color":"","ocean_display_footer_widgets":"default","ocean_display_footer_bottom":"default","ocean_custom_footer_template":"0","ocean_post_oembed":"","ocean_post_self_hosted_media":"","ocean_post_video_embed":"","ocean_link_format":"","ocean_link_format_target":"self","ocean_quote_format":"","ocean_quote_format_link":"post","ocean_gallery_link_images":"off","ocean_gallery_id":[],"footnotes":""},"categories":[74],"tags":[75,76],"class_list":["post-2322","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-analytics-and-attribution-de","tag-bi-analytics-de","tag-data-warehousing-de","entry","has-media"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Should you invest in a data warehouse? &#8211; Customlytics<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/customlytics.com\/de\/should-you-invest-in-a-data-warehouse\/\" \/>\n<meta property=\"og:locale\" content=\"de_DE\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Should you invest in a data warehouse? &#8211; Customlytics\" \/>\n<meta property=\"og:description\" content=\"The big question is, why do you need a data warehouse? 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