Predictive Analytics for Enlightenment Startup

As we knew Traditional business intelligence (and data mining) software did a very good job to show you where you have been. Otherwise, to make predictions of the future that guides you to where you should go next, need predictive analytics using data patterns. This is a whole new world for startups seeking social media trend challenges and enterprise application opportunities.

According to new book from Eric Siegel “Predictive Analytics,” it’s the power to predict who will buy, lie, click as well die. It called as a primer by him, but his real life illustrate how the power of data destroyed by predictive analytics and how “big data” realize an extraordinary wealth of experience from which to learn.
Many examples of potential and real application areas provided and it so ripe for predictive analytics, but  smart entrepreneurs can spell these out many more. Here are several examples for flowing your idea.

Targeted direct marketing. By integrating data from multiple social media interactions with web, you can increase response rates and propagate a single view of the customer. Furthermore companies can determine promotion techniques by a narrow customer segment, based on location, or delivery channel.

Predictive advertisement targeting. Everybody in the world wants to know which ad every customer is most likely to click. Then they can show the best ad, based on the probability of a click, as well as the bounty paid by its sponsor.

Fraud detection. Everybody wants to know which applications or transactions for benefits, credits, refunds, and so on are that fraudulent. While businesses need to minimize false insurance claims,  false identities, and inaccurate credit applications.

Investment risk management. Without predictive analytics there is “big data” out there that can’t possibly be evaluated by you. So the same service on partner and acquisition are needed by companies

Customer retention with churn modeling. Every business can target their retention efforts by predict which customers are about to leave, and for what reasons. Predictive targeting can minimize retention campaign cost, so without it a retention campaign may cost more.

Movie recommendations. Movies are recommended to customers, based on history, related interests, or analysis of Social Media comments.

Some experts team of predictive analytics in the new term “business analytics” intending to define an general term including enterprise information and performance management, analytic applications and data warehousing . But whatever it the chance still wide.

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