What is predictive analytics? Why it matters?
Last updated: October 30, 2024 Read in fullscreen view
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What Is Predictive Analysis?
Predictive analytics is the use of data to predict future trends and events. It uses historical data to forecast potential scenarios that can help drive strategic decisions.
The predictions could be for the near future—for instance, predicting the malfunction of a piece of machinery later that day—or the more distant future, such as predicting your company’s cash flows for the upcoming year.
Predictive analysis can be conducted manually or using machine-learning algorithms. Either way, historical data is used to make assumptions about the future.
Leverage Your Data to Predict Future Events & Gain a Competitive Advantage
The use of data to inform and drive business decisions has grown exponentially over recent years. It was not all that long ago that most companies utilized their data for little else than to create reports that summarized the past performance of their business. They looked backward and nothing more, if they looked at anything at all. Now, those same companies can use the same historical data, but viewed through the lens of the latest predictive modeling and analytics to foresee future risks, identify growth opportunities, detect fraud, optimize marketing campaigns, and provide the best assessment of myriad other aspects of business performance.
Predictive data analytics are quickly taking hold across a variety of industries, from transportation to retail. Imagine, cities predicting congestion on specific bus routes and scheduling additional buses or a clothing store targeting a price for a particular customer based on their prior purchases. Some argue today’s advanced predictive analytics are so profound they are reinventing industries, and with the growing number of amazing real-world examples, that may not be such an outrageous claim.
Syntelli has garnered real-world data analytics experience across a variety of industries, and we provide predictive analytics solutions tailored to the needs of your business. Below we discuss how we design and implement those solutions, and more importantly, how they will set your business apart from the competition.
Why Predictive Modeling Is Important For Your Business
Predictive modeling gives your firm a competitive advantage by guiding key business decisions – those that will reduce risk, drive growth, or improve existing operations – and predicting the outcome of those decisions more accurately than human analysis alone. If nothing else, at the current rate of adoption, you’ll need to incorporate predictive analytics simply to stay competitive with your peers!
Using Data To Strategize For The Future
No matter your industry, predictive analytics can provide the insights needed to make your next move. Whether you’re driving financial decisions, formulating marketing strategies, changing your course of action, or working to save lives, building a foundation in analytical skills can serve you well.
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