The Growing Influence of Predictive Analytics in Various Industries

Abstract: Predictive analytics is the process of finding structure in historical data to come up with predictions about future events by using a combination of techniques from data mining, machine learning, and statistics. In this process, one usually constructs models to identify relationships among factors that potentially have an impact on future events. Predictive analytics is widely used in marketing, financial services, retail, travel and many other areas. The use of predictive analytics is growing rapidly, which can be attributed to the availability of new data sets and sources, increased computing power, and the constant, unrelenting search for business supremacy. One important fact is that, even though the transactions are taking place in various market sectors, it can be inferred that all the companies has the same strategic goal: to utilize the power of analytics to gain deeper insight into customer demeanor and to use that knowledge to better serve their customers. This paper will give more insight into the rapid expansion of predictive analytics in various markets. Keywords: Predictive Analytics, Data mining, machine learning, predictive modeling, statistics, markets.