The Basics #2: Why Should You Care About Data?

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You might be thinking, “Data sounds nice, but I have a business to run, why should I care about all these facts and figures?” It’s a fair question. Many small business owners and NGO managers feel they’re too busy for data or that data is something only big corporations deal with. However, ignoring data means relying solely on gut feeling, and that can lead to missed opportunities or costly mistakes. In our work at Moonland, we’ve seen time and again that even modest data insights can spark major improvements. Let’s explore why paying attention to data is worth your time.

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From Gut Feelings to Informed Decisions

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Running an organization often involves making decisions – from choosing which product to stock more of, to deciding where to allocate your limited budget. Without data, these decisions are basically educated guesses. With data, you replace guesswork with evidence. For example, rather than guessing which days are busiest, you can look at last month’s sales counts and know for sure. Instead of assuming customers are happy, you can send out a simple survey and use the feedback data to pinpoint areas to improve.

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Data helps you move from “I think this is the case” to “I know this is the case.” This shift can save you money and time. Imagine you run an online craft store and think Instagram is your best marketing channel. If you track website traffic data, you might discover most purchases actually come from email newsletter clicks. Now you can focus your efforts (and budget) on the channel that works best. In short, data equips you to make informed decisions, which usually leads to better outcomes.

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Real Benefits of Being Data-Driven

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Caring about data isn’t just about feeling smarter, it yields real, tangible benefits for your organization. Here are a few advantages that SMEs and NGOs gain by using data:

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• Better strategic decisions: You choose directions based on trends and numbers, not hunches. (For instance, a café spots that iced drinks sell more than hot drinks in summer, so it doubles down on lemonade and cold brew coffee.)
• Improved efficiency and savings: Data can highlight waste or inefficiencies. (A nonprofit tracking its expenses notices a particular event is very costly per attendee, leading them to rethink or renegotiate those costs.)
• Understanding your audience: Whether it’s customers or beneficiaries, data (like purchase history or program attendance) helps you understand what people want or need, so you can serve them better.
• Increased revenue or funding: When you act on data insights, you often find opportunities to boost sales or donations. (One small retailer identified their top 10 selling products through sales data and focused on promoting those, increasing their revenue.)
• Measurable impact: For NGOs especially, data is key to demonstrating outcomes. (Tracking how many people you helped this year, and in what ways, can help show donors and stakeholders the impact of your programs.)

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Studies back this up. Research has found that organizations using data effectively enjoy higher revenues and lower costs on average . In other words, data isn’t just a tech buzzword, it’s a practical tool that directly affects your bottom line and mission success.

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A Small Organization Success Story

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To make it concrete, let’s look at a real-world scenario. We worked with a local NGO that provides after-school tutoring. They were passionate and hardworking, but they weren’t sure which of their tutoring programs was making the biggest difference for students. We helped them gather some basic data: attendance records, test score improvements, and feedback forms from students and parents. When we analyzed this information, a clear picture emerged. One-on-one tutoring sessions had a much higher success rate (improved grades, positive feedback) than large group workshops.

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This insight was a game-changer. The NGO decided to reallocate resources to offer more one-on-one sessions. Over the next year, student success rates climbed, and the NGO used this data to show donors how effective their approach was – which helped secure more funding. The lesson? Even a small organization can make impactful changes by listening to what the data tells them.

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Data can seem intimidating at first, but caring about it pays off. In our next “The Basics” article, we’ll talk about where all this data comes from in the first place, you might be surprised at how much useful information is already at your fingertips.

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About the Author

Pello Múgica Gonzalez is the cofounder of Moonland, a digital consultancy based in Ghent and Brussels, focused on empowering impact organizations through data, automation, and AI. With hands-on field experience at the Red Cross and a background in data science, Pello understands the unique challenges of the impact sector, from complex stakeholder environments to demanding reporting cycles.
He leads digital transformation initiatives that help NGOs and nonprofits streamline operations, unlock insights, and build long-term resilience through accessible, human-centered technology. In recognition of his work, Pello was named a Digital for Development laureate, honoring his innovative contributions to the humanitarian and development field
Passionate about making technology work for social good, Pello continues to support impact-focused teams in turning fragmented data into actionable strategy, helping them stay agile, transparent, and mission-aligned in a rapidly changing world.

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