How businesses are turning external data into smarter strategy
A survey of 1,000 senior decision-makers shows 61% of U.S. companies used external data to launch new products in 2025, delivering measurable gains in revenue and efficiency.
Companies are increasingly turning to external data not just as a supplement to internal analytics, but as a strategic imperative.
A recent research by Decodo of 1,000 senior decision-makers—including CFOs, COOs, CIOs, and CMOs—reveals that external data, especially when paired with AI, is reshaping how businesses innovate, compete, and mitigate risks.
External Data Drives Innovation and Strategy
Social media and user-generated content (UGC) lead as the most utilized external data sources, relied upon by two-thirds of respondents.
More than half of companies also use competitor website monitoring, product review sentiment, and marketplace platforms like Amazon and eBay to inform strategy. These inputs have become critical for market understanding and product differentiation.
In the past year, 61% of companies launched new products or features based on insights from external data.
Firms also used this data to track competitor moves (60%), guide pricing and packaging shifts (59%), forecast market trends (56%), and identify M&A or partnership opportunities (52%).
According to survey responses, these efforts have helped businesses become more responsive, data-driven, and market-aware.
Measurable Gains in Performance and Efficiency
The shift to external-data-driven decision-making is translating into measurable results:
- 63% of companies report improved decision-making.
- 56% saw increased revenue.
- 54% noted operational efficiency gains.
- 53% improved customer experience or personalization.
- 44% strengthened competitive positioning.
Most revenue gains ranged from 6% to 20%, while workflow improvements clustered within the same bands. These results underscore how data investment is delivering business outcomes, not just insights.
Strategic Impact on Core KPIs
Respondents identified significant benefits across key metrics: 58% improved customer acquisition cost, 54% accelerated time-to-decision, 48% boosted forecast accuracy, 47% enhanced customer lifetime value, and 43% improved time tracking.
CFOs in tech and finance functions are increasingly leveraging external data to guide capital allocation, forecast trends, and support forward-looking strategy.
Nearly half (49%) of companies now consider AI fundamental to business operations, and 23% have built proprietary in-house AI tools to gain competitive edge.
Yet nearly 20% of businesses are still in the early stages of AI adoption, indicating space for growth in maturity and capability.
Navigating Risks and Barriers
Despite adoption momentum, companies face obstacles when integrating external data. Budget and resource constraints are the most common challenge, impacting 37% of respondents.
Others cite technical barriers such as IP blocks, geo-restrictions, CAPTCHAs, and infrastructure limitations. Almost one-third struggle with data quality and expertise gaps; 16% report difficulties making the business case for investment.
Unverifiable sources, compliance risks, outdated data, and breaches are among the most frequently cited red flags.
Experts emphasize the importance of working with reputable providers. Ethical, residential IP providers and built-in error handling are advised to avoid scraping risks and ensure reliability.
Rigorous data validation and audit-ready documentation are also essential to maintain trust and regulatory compliance.
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