Cookies help us display personalized product recommendations and ensure you have great shopping experience.

By using this site, you agree to the Privacy Policy and Terms of Use.
Accept
SmartData CollectiveSmartData Collective
  • Analytics
    AnalyticsShow More
    data analytics and truck accident claims
    How Data Analytics Reduces Truck Accidents and Speeds Up Claims
    7 Min Read
    predictive analytics for interior designers
    Interior Designers Boost Profits with Predictive Analytics
    8 Min Read
    image fx (67)
    Improving LinkedIn Ad Strategies with Data Analytics
    9 Min Read
    big data and remote work
    Data Helps Speech-Language Pathologists Deliver Better Results
    6 Min Read
    data driven insights
    How Data-Driven Insights Are Addressing Gaps in Patient Communication and Equity
    8 Min Read
  • Big Data
  • BI
  • Exclusive
  • IT
  • Marketing
  • Software
Search
© 2008-25 SmartData Collective. All Rights Reserved.
Reading: Are You Asking the Right Questions with Predictive Analytics?
Share
Notification
Font ResizerAa
SmartData CollectiveSmartData Collective
Font ResizerAa
Search
  • About
  • Help
  • Privacy
Follow US
© 2008-23 SmartData Collective. All Rights Reserved.
SmartData Collective > Data Management > Best Practices > Are You Asking the Right Questions with Predictive Analytics?
AnalyticsBest PracticesData QualityPredictive Analytics

Are You Asking the Right Questions with Predictive Analytics?

Brett Stupakevich
Brett Stupakevich
4 Min Read
SHARE

asking right questions photo (sales analytics predictive analytics data scientist 2 data analytics )Predictive analytics can help companies forecast business results with stunning accuracy – for example, how a particular group of customers might react to a targeted offer or what the potential business i

asking right questions photo (sales analytics predictive analytics data scientist 2 data analytics )Predictive analytics can help companies forecast business results with stunning accuracy – for example, how a particular group of customers might react to a targeted offer or what the potential business impact might be as a result of a marketing program.

But do data scientists always ask the right questions to get at the heart of what business leaders are attempting to accomplish? For instance, when is the right time to make an offer to a customer in order to generate the most favorable results?

Predictive analytics can clue data scientists and other users in on patterns worth examining (e.g. customers and prospects with certain common attributes were most likely to convert when an offer for a particular product was presented).

More Read

Build your own slide rule with R
Unstructured Data: A Contrarian’s View
A Question of Scope
Planning For The Future: Understanding Scalability Requirements
Teradata’s “Multiple paths to social media”

Companies that use predictive analytics more effectively than others achieve dramatically better business results. According to a recent Aberdeen Group report, “companies using predictive analytics enjoyed a 75% higher click through rate and a 73% higher sales lift” than companies that don’t. However, even among users of predictive analytics “there are significant differences in the level of business performance achieved,” according to the report.

In particular, top-performing companies identified by Aberdeen outperform their peers considerably in areas such as year-to-year changes in customer lifetime value, average response rates and average opt-out rates.

The beauty of predictive analytics is that these tools can provide decision makers with impressive qualitative and quantitative results. Healthcare industry practitioners have frequently used these tools to predict a patient’s ability to pay as well as which customer accounts have the highest likelihood of ending up in collections. Providing healthcare employees with these types of insights enables them to do their work more productively and efficiently.

When data scientists ask the right questions using predictive analytics, they’re not only able to address known business challenges but they can also uncover some of the unknowns.

As an example, a growing number of law enforcement agencies are using predictive analytics along with visual analysis and geo-spatial analysis to better predict when certain types of crime are most likely to occur (e.g., a six-month analysis of a four-block radius for a particular city reveals that muggings are mostly likely to occur between 2 p.m. and 6 p.m. on weekends, leading police commanders to increase their patrols for this area and time period).

Obviously, companies need starting points for applying predictive analytics. You should begin by using predictive analytics against a couple of top business challenges and then build upon lessons learned. As a recent PwC report on predictive analytics points out, a terrific question worth asking is this: What will the cost be to our company if management makes a “wrong” business decision?

Next steps: For more information on this topic, check out our complimentary “5-Minute Guide to Business Analytics.”

 

Share This Article
Facebook Pinterest LinkedIn
Share

Follow us on Facebook

Latest News

data analytics and truck accident claims
How Data Analytics Reduces Truck Accidents and Speeds Up Claims
Analytics Big Data Exclusive
predictive analytics for interior designers
Interior Designers Boost Profits with Predictive Analytics
Analytics Exclusive Predictive Analytics
big data and cybercrime
Stopping Lateral Movement in a Data-Heavy, Edge-First World
Big Data Exclusive
AI and data mining
What the Rise of AI Web Scrapers Means for Data Teams
Artificial Intelligence Big Data Exclusive

Stay Connected

1.2kFollowersLike
33.7kFollowersFollow
222FollowersPin

You Might also Like

CBS’s Television City Redefines In-House/DIY Market Research

13 Min Read

2012 Market Research and Analytics Job Predictions

8 Min Read

Survey Shows Business Intelligence Wants and Struggles of SMBs

5 Min Read

From Master Data to Master Graph

16 Min Read

SmartData Collective is one of the largest & trusted community covering technical content about Big Data, BI, Cloud, Analytics, Artificial Intelligence, IoT & more.

data-driven web design
5 Great Tips for Using Data Analytics for Website UX
Big Data
giveaway chatbots
How To Get An Award Winning Giveaway Bot
Big Data Chatbots Exclusive

Quick Link

  • About
  • Contact
  • Privacy
Follow US
© 2008-25 SmartData Collective. All Rights Reserved.
Go to mobile version
Welcome Back!

Sign in to your account

Username or Email Address
Password

Lost your password?