Tuesday , 2 June 2020

What Is Predictive Analytics? Guide To Real World Statistical Applications

All internet users have heard of predictive analytics. However, most still do not know what predictive analytics is and how it impacts their online experience. For those internet users that do not know, it is smart to learn more about the topic. It impacts nearly everything you do on the internet. What is predictive analytics? Find out the answer to that question and learn all about modern predictive analytics applications that affect your web browsing experience in this post.

What Is Predictive Analytics?

Predictive analytics is the name given to a number of statistics techniques. These techniques include predictive modelling, machine learning and data mining, among others. These types of predictive analytics strategies can be used to make predictions regarding future events for everything from hydroponics technology developments to consumer preferences. Predictive analytics is often used by businesses for more accurate business forecasting. But, it is also used by digital marketing companies, social media giants and other tech companies. There are a number of different real world applications that make use of these predictive analytics statistical techniques.

Digital Marketing

Digital marketing campaigns now use predictive analytics tactics to better target online ads. These types of statistical techniques are used to identify audiences. Then, they are also used to identify the best ways to attract these target audiences as well. These predictive analytics methods rely on consumer data from web searches, social media data and other digital footprints left behind by consumers. Digital marketing is one of the most common applications of predictive analytics in use today that average internet users would recognize.

Crisis Management

Crisis management strategies are now being developed using predictive analytics. When something goes wrong for a company, they can now use data to predict the best way for the company to react and respond. This helps companies create a crisis management plan that is much more likely to be effective. It is based on statistical evidence that indicates the odds of success for particular crisis management tactics. This has helped many businesses stay relevant and appealing to the mass market despite PR nightmares. This is one application of predictive analytics that few internet users even realize is a possibility. But, it is.

Product Recommendations

Product recommendations are another one of many real world applications of predictive analytics that prove AI wins in the battle of AI vs human results. Any time you get a product recommended to you at an e-retailer, that is an example of predictive analytics calculations. Amazon is one website, in particular, where these predictive analytics strategies are prevalent. The ecommerce company uses previous shopping behavior data to learn shopper preferences. Then, it uses this information about consumer preferences to customize and personalize product recommendations that the shopper is likely to enjoy based on previous purchases and browsing. If you have ever had a product recommended to you online, you have witnessed predictive analytics in action.

Spam Filters

Spam filters are one of the little known examples of predictive analytics. Email providers utilize predictive algorithms to determine the likelihood that an email is spam. It uses data based on common spam email tactics to determine whether or not a particular email is indeed spam. Then, the email platform will filter the email based on its predictions. This is one of the earliest and most basic forms of predictive analytics. Few internet users even realize that this is indeed one of the first real world applications of predictive analytics algorithms.

If you use the internet, you are certainly familiar with the term predictive analytics. But, you may not have known what predictive analytics actually is. That is understandable. There are many different real world predictive analytics applications. Use this post as a guide to predictive analytics and its most common applications that impact your internet experience. After all, these technologies are much more than just sales tools. It is always good to know what is affecting your internet browsing experience. Now, you do.

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