It is no longer surprising that companies deal with a large amount of data, which makes it difficult to analyze them and consequently make decisions. It is now necessary to cross-reference data from a variety of data sources, gain insights, and analyze consumer and market information. In today’s article, we’ll cover the 4 types of Data Analytics that you can (and should) use in your business!
This type of Data Analytics answers the question “what is happening now?”. Through the response, companies can analyze data on customer losses, sales for a particular product, and the outcome of launched campaigns. Descriptive analysis allows immediate decisions to be made with a high level of security, since the analysis is based on concrete and current data. The information coming from this type of analysis is usually displayed in graphs and tables, which allows the manager to have an overview of the processes monitored.
Predictive analytics is an advanced form of Data Analytics that aims to answer the question “what will happen?”. It is a type of analysis that makes predictions through probabilities. This analysis is possible thanks to techniques like regression and progression analysis, pattern matching and various types of statistics. This type of Data Analytics is widely used in stock market and investment companies.
Diagnostic analysis will explain why something happened. This type of analysis will relate all available data and information to find patterns of behavior that may explain the results. It is an important analysis to find problems and above all to avoid repeating them in the future.
The prescriptive analysis is the analysis of premonition. It answers the question “what could happen if we take this action?”. This type of analysis is very important especially in the sales area. For example, “if we think about giving a 15% discount next month on the company’s lesser-selling product, the likelihood of increased sales is 40%”. The prescriptive analysis raises hypotheses about possible results of actions taken by the company. It is an essential analysis for managers, as it helps them to evaluate the best way to choose a certain strategy to solve a problem.
Analyzing the data is essential to meet the constant challenges of today’s competitive business world. It is no longer enough to analyze the events after these have happened: it is essential to always be aware of what is happening at each moment. Business monitoring systems such as Multipeers are essential tools in today’s business world because they allow us to analyze the second thing that is happening in the company, allowing you to act immediately without having serious consequences.