While reading a TWDI report article i came across another very interesting article about the the power of predictive analytics. A small intro:
“The basics of building a great, successful, and sustainable business are simple: Build products that customers want to buy; make sure you offer more value than the competition; price your products appropriately to drive demand from customers; and maximize your profit.
The reality is considerably more difficult: What products do customers really want? What will it take to keep them from buying from the competition? How should a business price its products to maximize both demand and potential profit? The answers all too often reside as secrets held by customers-held because it is in their interest to do so. For example, if a business has to guess what the customer will buy, it will often overreach, perhaps designing products with more features than customers need, or making offers more attractive than necessary to ward off competition. “
I think may of us can relate to this problem, this article illustrates the necessary steps and the requirements of predictive analytics: explainability, deployability, consistency and repeatability, and palatability. Understanding these properties will give readers a foundation to enable their organizations to cross the analytics chasm and leverage the power of predictive analytics that will help them build a successful and sustainable business.
For the full 10 page article look here Crossing the Analytics Chasm.