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Decoding The Tech September 17, 2025
3 min read

Top 5 Challenges Companies Face When Defining Their Data Strategy and What to Do Instead

Learn the top 5 data strategy challenges companies face—from outdated plans to poor adoption—and what steps ensure stronger, long-term data success.

Data has become the currency of growth, serving as the foundation for smarter decisions, stronger customer connections, and sustained performance. Building a data strategy is a critical step in this journey, and it often requires balancing business priorities, customer expectations, and regulatory needs. In our work with Fortune 500 clients, we have seen how organizations across industries approach this challenge, and how a strategic partnership can translate goals into measurable impact.

With the right approach, a data strategy can consistently deliver long-term value. Across sectors from retail and real estate to pharma and fashion, we’ve seen clear patterns emerge. A handful of recurring themes when recognized and addressed early, can significantly improve outcomes.

In this blog, we share the top five common data strategy challenges companies face and, how to mitigate them. The goal is to strengthen data foundations and help businesses capture the full potential of data-driven growth.

List of Five Common Data Strategy Mistakes:

1. Treating Data Strategy as a One-Time Effort

The mistake: Business priorities shift, customer needs change, and regulations are updated more frequently than most plans anticipate. A static approach to data strategy risks becoming outdated.

What to do instead: A data strategy should be treated as an adaptable framework. Regular reviews help ensure alignment with changing business goals, new technologies, and external conditions. This approach keeps data initiatives current and effective over time.

For instance, we helped a global retailer bring order to scattered data by modernizing reporting with AWS QuickSight, creating a system flexible enough to stay useful as the business changes.

2. Missing the Connection Between Data and Business Goals

The mistake: A data strategy that focuses mainly on tools, platforms, or storage without linking back to business objectives often results in underutilized data. When insights are not tied to outcomes, valuable information remains unused and does not contribute to growth.

What to do instead: Always start with the purpose. Identify specific outcomes such as improving margins or supporting customer engagement and then design data practices around them. A clear example: We partnered with a major real estate firm to set up a data-driven approach that directly supported revenue goals, ensuring every dataset was used for better decisions.

3. Overlooking Data Quality and Governance

The mistake: More data is not always better. When quality, consistency, and compliance are ignored, poor input leads to poor output. Inaccurate data not only erodes trust but can also expose organizations to regulatory and reputational risks.

What to do instead: Set up strong processes early. Data quality checks, standards across departments, and defined ownership roles help avoid issues. We collaborated with a pharma company to rebuild its data environment using AWS Glue, which gave them accurate, reliable, and compliant data systems at scale.

4. Overcomplicating the Technology Stack

The mistake: A technology stack that grows too quickly or is too complex can create more challenges than it solves. Adding multiple platforms without a clear link to business needs often leads to higher costs, overlapping capabilities, and systems that are difficult for teams to adopt effectively.

What to do instead: Keep it simple. Choose tech solutions that meet immediate needs while allowing room for future growth. Cloud-based platforms are often a good fit. For instance, we worked with a fashion leader to migrate from on-premise systems to the cloud, ensuring efficiency gains without unnecessary complexity.

5. Overlooking People and Adoption

The mistake: Even the most advanced dashboards and data platforms cannot deliver value if employees do not adopt them. When training is limited or communication around data initiatives is unclear, adoption slows and expected outcomes are delayed.

What to do instead: Prioritize people as much as technology. Training, communication of results, and user-friendly tools all create trust in systems. We collaborated with a global sportswear brand where success came not only through better analytics but also by putting easy-to-use insights in the hands of decision-makers at every level.

Conclusion

The common data strategy mistakes companies make usually fall into five patterns: building once and ignoring updates, missing alignment with outcomes, neglecting data quality, chasing complex tools, and overlooking employee adoption.

The silver lining is that each of these can be avoided with the right approach. At Tiger Analytics, we have helped businesses rethink their data practices in ways that lead to measurable progress and long-term value.

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