{"id":1643,"date":"2018-06-19T11:06:00","date_gmt":"2018-06-19T11:06:00","guid":{"rendered":"https:\/\/digiterrebestg.wpengine.com\/?p=1643"},"modified":"2024-05-30T13:24:03","modified_gmt":"2024-05-30T13:24:03","slug":"dont-be-left-guessing-the-future-use-predictive-analytics","status":"publish","type":"post","link":"https:\/\/www.digiterre.com\/us\/2018\/06\/19\/dont-be-left-guessing-the-future-use-predictive-analytics\/","title":{"rendered":"Don\u2019t be left guessing the future \u2013 use predictive analytics"},"content":{"rendered":"<section id=\"block_ca43aa364b7d09ae54c820b1cd3144aa\" class=\"acf-blocks page-header flex flex-wrap items-center justify-center !mt-0 bg-center bg-no-repeat bg-cover py-16 min-h-[30rem] \" style=\"background-image:linear-gradient(0deg, rgba(0, 0, 0, 0.6), rgba(0, 0, 0, 0.6)), url(https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2023\/04\/DZ3t4udWsAE3i1v-1500x1000-c-default.jpg);\">\n    <div class=\"container mx-auto text-center\">\n        <h1>Don\u2019t be left guessing the future \u2013 use predictive analytics<\/h1>\n\n                <p class=\"lg:text-2xl font-medium text-white max-w-5xl mx-auto\">It\u2019s easy to be put off by the jargon. Predictive? Are you really telling me you can predict the future? You\u2019d be right in a way, as predictive analytics doesn\u2019t tell you what will happen in the future. What it does do is to forecast what might happen in the future with an acceptable level of reliability and can include things like what-if scenarios and risk assessments.<\/p>\n        \n            <\/div>\n<\/section>\n\n\n<div class=\"wp-block-columns aligncenter is-section is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\">\n<p>This is massively valuable if your business decision making and business problem resolution is still based too much on guesswork and too many blank canvases. Predictive analytics or PA, gives you a best assessment of what will happen in future.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Where is predictive analytics\u2019 greatest value?<\/strong><\/h4>\n\n\n\n<p>PA has moved from the domain of mathematicians to business analysts and line of business chiefs because of growing volumes of data, faster, cheaper computing, easier to use software and tougher economic conditions generally. It\u2019s everywhere and it\u2019s mainstream because the sort of business challenges it tackles are wide ranging:<\/p>\n\n\n\n<p><strong>Fraud detection<\/strong>\u00a0\u2013\u00a0<strong>PA<\/strong>\u00a0can improve pattern detection\u00a0and prevent criminal behavior.\u00a0And to improve cybersecurity, high-performance behavioral analytics can examine all actions on a network in real time to spot abnormalities that may indicate fraud and advanced persistent threats. Commonwealth Bank uses analytics to predict the likelihood of fraud activity for any given transaction\u00a0<em>before<\/em>\u00a0it is authorized\u00a0\u2013 within 40 milliseconds of the transaction initiation!<\/p>\n\n\n\n<p><strong>Marketing campaign optimization<\/strong>\u00a0\u2013 Predictive models help businesses attract, retain and grow their most profitable customers with:<\/p>\n\n\n\n<p><\/p>\n\n\n\n<ul class=\"wp-block-list custom-bullet\">\n<li><strong>Predictive Scoring:<\/strong> Prioritizing known prospects, leads, and accounts based on their likelihood to take action. This adds a scientific, mathematical dimension to conventional prioritization relying simply on speculation and experimentation to derive criteria and weightings. It helps to identify productive accounts faster, spend less time on accounts less likely to convert and initiate targeted cross-sell or upsell campaigns.<\/li>\n\n\n\n<li><strong>Identification Models<\/strong>: Identifying and acquiring prospects with attributes similar to existing customers. Accounts which exhibit desired behavior (made a purchase or renewed a contract) serve as the basis of an identification model. This helps to find valuable prospects earlier in the sales cycle, uncover new markets, prioritize existing accounts for expansion, and power account-based marketing (ABM) initiatives by bringing to the surface accounts that can reasonably be expected to be more receptive to sales and marketing messages.<\/li>\n\n\n\n<li><strong>Automated Segmentation<\/strong>: Segment leads for personalized messaging. B2B marketers have traditionally been able to segment only by generic attributes, like industry and with such manual effort that personalization applied only to highly prioritized campaigns. Now attributes used to feed predictive algorithms can be appended to account records to support both intricate and automated segmentation. This helps drive outbound communications with relevant messages, enable substantial conversations between sales and prospects and inform content strategy more intelligently.<\/li>\n<\/ul>\n\n\n\n<p><strong>Operations and business process improvement<\/strong> \u2013 Predictive analytics enables organizations to function more efficiently:<\/p>\n\n\n\n<ul class=\"wp-block-list custom-bullet\">\n<li>Many companies use predictive models to forecast inventory and manage resources better. Airlines use predictive analytics to set ticket prices and hotels try to predict the number of guests for any given night to maximize occupancy and increase revenue. Salt River Project, the second-largest public power utility in the US, uses PA to analyze machine sensor data to predict when power-generating turbines need maintenance, minimizing breakdown or performance failures.<\/li>\n\n\n\n<li>PA is also used extensively for software testing. It can identify inefficiencies and issues in current business processes and enhance both testing effectiveness and client engagement.<\/li>\n<\/ul>\n\n\n\n<p><strong>Risk reduction<\/strong> \u2013 Credit scores generated by a predictive model are used to assess a buyer\u2019s likelihood of default for purchases, incorporating all data relevant to a person\u2019s creditworthiness. Other risk-related uses include insurance claims and collections. In software development, PA helps teams leverage appropriate technologies that will give businesses the capability to better hedge investments or price products more appropriately. In addition, it can also help leverage appropriate technology to predict profitability more accurately and deploy resources proactively, thereby improving risk management.<\/p>\n\n\n\n<h4 class=\"wp-block-heading\"><strong>Identify a business problem, but let the team solve it<\/strong><\/h4>\n\n\n\n<p>To realise the value of PA for your business, it\u2019s not a case of simply clicking the \u2018predictive analytics button\u2019 on your dashboard. Integrating into your business decision making means going through an analytical life cycle such as the following:<\/p>\n\n\n\n<ul class=\"wp-block-list custom-bullet\">\n<li><strong>Identify the problem to solve<\/strong>&nbsp;\u2013 ask yourself what you want to know about the future based on the past?<\/li>\n\n\n\n<li><strong>Have sponsors in place \u2013<\/strong>&nbsp;executive sponsors can help make the dream a reality. Don\u2019t start a project or work in a vacuum where you\u2019re the only person who appreciates the value of PA.<\/li>\n\n\n\n<li><strong>Prepare your data<\/strong>&nbsp;\u2013 You\u2019ll need someone with data management experience, to help you cleanse and prep the data for analysis. It also requires someone who understands both the data and the business problem.<\/li>\n\n\n\n<li><strong>Conduct predictive modelling&nbsp;<\/strong><strong>\u2013<\/strong>&nbsp;Increasingly easy-to-use software means more people can build analytical models. You\u2019re likely to need a data analyst to help refine your models and come up with the best performer. You then might need someone in IT who can help deploy your models.<\/li>\n<\/ul>\n\n\n\n<p>So it will require a team approach to bring predictive analytics effectively into the business. But you can be sure we\u2019ve only just scratched the surface, both in the ways different industries could integrate PA and the depths to which PA tools and techniques will redefine how we do business in concert with the&nbsp;<a href=\"http:\/\/uk.pcmag.com\/robotics-automation-products\/82466\/news\/meet-scarlet-my-new-ai-assistant\" target=\"_blank\" rel=\"noreferrer noopener\">evolution of AI<\/a>. And as we inch closer to truly&nbsp;<a href=\"http:\/\/uk.pcmag.com\/news\/82039\/ai-brain-mapping-closer-to-reality-than-youd-think\" target=\"_blank\" rel=\"noreferrer noopener\">mapping an artificial brain<\/a>, the possibilities are endless!<\/p>\n<\/div>\n<\/div>\n\n\n\n<section id=\"block_7689c798f458ac7bba9297412eac3e76\" class=\"acf-blocks post-meta container mx-auto \">\n    <div class=\"max-w-fit mx-auto p-4 relative after:content-[''] after:absolute after:top-0 after:left-0 after:w-full after:h-[2px] lg:after:w-[2px] lg:after:h-[100%] after:bg-dark after:rounded-full\">\n        <h3 class=\"text-4xl font-semibold text-center md:text-left\">About the Author<\/h3>\n        <div class=\"md:flex items-start lg:items-center md:justify-start flex-wrap\">\n                  \n            <img loading=\"lazy\" decoding=\"async\" width=\"106\" height=\"150\" src=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2024\/12\/Juniper-Place-case-study-pdf-106x150.jpg\" class=\"rounded-digiterre md:w-24 md:h-24 lg:w-36 lg:h-36 md:mr-4 shadow-digiterre shadow-dark\/[.15] mb-4 md:mb-0 mx-auto md:mx-0\" alt=\"\" \/>                        <div>\n                <h4 class=\"text-2xl mb-2 font-semibold text-center md:text-left\">Digiterre<\/h4>\n\n                \n                                \n            <\/div>            \n        <\/div>\n        <div class=\"flex flex-wrap items-center justify-center md:justify-start font-visby text-sm w-full md:space-x-4 mt-6\">\n            <span class=\"block md:inline-block rounded-full px-5 py-3 bg-primary-lightest text-primary\">Date: <strong>19\/06\/18<\/strong><\/span>\n            <span class=\"block md:inline-block rounded-full px-5 py-3 bg-primary-lightest text-primary mt-4 md:mt-0\">Category: <strong>Industry Insights\/ Tech Insights<\/strong><\/span>\n        <\/div>\n    <\/div>\n<\/section>\n\n\n<section id=\"block_6c3c72d2b365d922c83e7c860cd75fd7\" class=\"acf-blocks insights-posts-grid container mx-auto flex flex-wrap items-start \">\n    <div class=\"grid grid-cols-1 md:grid-cols-2 gap-6 lg:w-3\/4 pr-6\">\n                        <article class=\"flex items-start\">\n                    <a href=\"https:\/\/www.digiterre.com\/us\/2025\/06\/03\/digiterre-opens-in-dusseldorf-strengthening-our-presence-in-germanys-energy-market\/\" class=\"contents\" title=\"Digiterre Opens in D\u00fcsseldorf: Strengthening Our Presence in Germany\u2019s Energy Market\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-150x150.jpg\" class=\"rounded-digiterre w-24 h-24 lg:w-36 lg:h-36 md:mr-4 shadow-digiterre shadow-dark\/[.15] hover:scale-105 transition-all duration-300 wp-post-image\" alt=\"\" srcset=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-150x150.jpg 150w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-300x300.jpg 300w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-1024x1024.jpg 1024w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-768x768.jpg 768w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-1536x1536.jpg 1536w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Website-article-posts-for-new-website-2048x2048.jpg 2048w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><\/a>\n\n                    <div class=\"flex flex-wrap flex-col justify-between h-full pl-4 md:pl-0\">\n                        <a href=\"https:\/\/www.digiterre.com\/us\/2025\/06\/03\/digiterre-opens-in-dusseldorf-strengthening-our-presence-in-germanys-energy-market\/\">\n                            <h4 class=\"text-base lg:text-xl mb-4 font-semibold md:mb-2 hover:text-primary-dark transition-all duration-300\">Digiterre Opens in D\u00fcsseldorf: Strengthening Our Presence in Germany\u2019s Energy Market<\/h4>\n                        <\/a>\n                        <div class=\"font-visby text-sm\">\n                            <p class=\"mb-1 text-sm md:text-base\">Date: <strong>03\/06\/25<\/strong><\/p>\n                            <p class=\"mb-0 text-sm md:text-base\">By: <strong>Laurence Pisani<\/strong><\/p>\n                        <\/div>\n                    <\/div>\n                <\/article>\n\n                        <article class=\"flex items-start\">\n                    <a href=\"https:\/\/www.digiterre.com\/us\/2025\/05\/21\/modernizing-c-in-tier-1-banks-balancing-performance-and-progress\/\" class=\"contents\" title=\"Modernizing C++ in Tier 1 Banks: Balancing Performance and Progress\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-150x150.jpg\" class=\"rounded-digiterre w-24 h-24 lg:w-36 lg:h-36 md:mr-4 shadow-digiterre shadow-dark\/[.15] hover:scale-105 transition-all duration-300 wp-post-image\" alt=\"\" srcset=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-150x150.jpg 150w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-300x300.jpg 300w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-1024x1024.jpg 1024w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-768x768.jpg 768w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-1536x1536.jpg 1536w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-3-2048x2048.jpg 2048w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><\/a>\n\n                    <div class=\"flex flex-wrap flex-col justify-between h-full pl-4 md:pl-0\">\n                        <a href=\"https:\/\/www.digiterre.com\/us\/2025\/05\/21\/modernizing-c-in-tier-1-banks-balancing-performance-and-progress\/\">\n                            <h4 class=\"text-base lg:text-xl mb-4 font-semibold md:mb-2 hover:text-primary-dark transition-all duration-300\">Modernizing C++ in Tier 1 Banks: Balancing Performance and Progress<\/h4>\n                        <\/a>\n                        <div class=\"font-visby text-sm\">\n                            <p class=\"mb-1 text-sm md:text-base\">Date: <strong>21\/05\/25<\/strong><\/p>\n                            <p class=\"mb-0 text-sm md:text-base\">By: <strong>Digiterre<\/strong><\/p>\n                        <\/div>\n                    <\/div>\n                <\/article>\n\n                        <article class=\"flex items-start\">\n                    <a href=\"https:\/\/www.digiterre.com\/us\/2025\/05\/07\/legacy-threat-cybersecurity-lessons-from-retail-attacks\/\" class=\"contents\" title=\"Legacy Threat: Cybersecurity Lessons from Retail Attacks\u00a0\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-150x150.jpg\" class=\"rounded-digiterre w-24 h-24 lg:w-36 lg:h-36 md:mr-4 shadow-digiterre shadow-dark\/[.15] hover:scale-105 transition-all duration-300 wp-post-image\" alt=\"\" srcset=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-150x150.jpg 150w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-300x300.jpg 300w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-1024x1024.jpg 1024w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-768x768.jpg 768w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-1536x1536.jpg 1536w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-4-2048x2048.jpg 2048w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><\/a>\n\n                    <div class=\"flex flex-wrap flex-col justify-between h-full pl-4 md:pl-0\">\n                        <a href=\"https:\/\/www.digiterre.com\/us\/2025\/05\/07\/legacy-threat-cybersecurity-lessons-from-retail-attacks\/\">\n                            <h4 class=\"text-base lg:text-xl mb-4 font-semibold md:mb-2 hover:text-primary-dark transition-all duration-300\">Legacy Threat: Cybersecurity Lessons from Retail Attacks\u00a0<\/h4>\n                        <\/a>\n                        <div class=\"font-visby text-sm\">\n                            <p class=\"mb-1 text-sm md:text-base\">Date: <strong>07\/05\/25<\/strong><\/p>\n                            <p class=\"mb-0 text-sm md:text-base\">By: <strong>Digiterre<\/strong><\/p>\n                        <\/div>\n                    <\/div>\n                <\/article>\n\n                        <article class=\"flex items-start\">\n                    <a href=\"https:\/\/www.digiterre.com\/us\/2025\/04\/30\/data-under-pressure-rethinking-data-management-in-a-volatile-tariff-driven-market\/\" class=\"contents\" title=\"Data Under Pressure: Rethinking Data Management in a Volatile, Tariff-Driven Market\u00a0\"><img loading=\"lazy\" decoding=\"async\" width=\"150\" height=\"150\" src=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-150x150.jpg\" class=\"rounded-digiterre w-24 h-24 lg:w-36 lg:h-36 md:mr-4 shadow-digiterre shadow-dark\/[.15] hover:scale-105 transition-all duration-300 wp-post-image\" alt=\"\" srcset=\"https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-150x150.jpg 150w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-300x300.jpg 300w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-1024x1024.jpg 1024w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-768x768.jpg 768w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-1536x1536.jpg 1536w, https:\/\/www.digiterre.com\/us\/wp-content\/uploads\/sites\/2\/2025\/06\/Tech-blog-1-2-2048x2048.jpg 2048w\" sizes=\"auto, (max-width: 150px) 100vw, 150px\" \/><\/a>\n\n                    <div class=\"flex flex-wrap flex-col justify-between h-full pl-4 md:pl-0\">\n                        <a href=\"https:\/\/www.digiterre.com\/us\/2025\/04\/30\/data-under-pressure-rethinking-data-management-in-a-volatile-tariff-driven-market\/\">\n                            <h4 class=\"text-base lg:text-xl mb-4 font-semibold md:mb-2 hover:text-primary-dark transition-all duration-300\">Data Under Pressure: Rethinking Data Management in a Volatile, Tariff-Driven Market\u00a0<\/h4>\n                        <\/a>\n                        <div class=\"font-visby text-sm\">\n                            <p class=\"mb-1 text-sm md:text-base\">Date: <strong>30\/04\/25<\/strong><\/p>\n                            <p class=\"mb-0 text-sm md:text-base\">By: <strong>Laurence Pisani<\/strong><\/p>\n                        <\/div>\n                    <\/div>\n                <\/article>\n\n        \n    <\/div>\n    <div class=\"w-full lg:w-1\/4 lg:pl-4 py-6 mt-8 lg:mt-0 relative after:content-[''] after:absolute after:top-0 after:left-0 after:w-full after:h-[2px] lg:after:w-[2px] lg:after:h-[100%] after:bg-dark after:rounded-full\">\n        <h3 class=\"text-4xl font-semibold mb-2\">Follow Us<\/h3>\n        <p class=\"text-digi-grey font-semibold\">Get the latest news and stay up to date<\/p>\n        <ul class=\"font-visby\">\n                            <li 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Predictive? Are you really telling me you can predict the future? You\u2019d be right in a way, as predictive analytics doesn\u2019t tell you what will happen in the future. What it does do is to forecast what might happen in the future with an acceptable level of reliability and can include things like what-if scenarios and risk assessments.<\/p>\n","protected":false},"author":4,"featured_media":1645,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[2,6],"tags":[],"class_list":["post-1643","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-industry-insights","category-tech-insights"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Don\u2019t be left guessing the future \u2013 use predictive analytics - Digiterre USA<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.digiterre.com\/us\/2018\/06\/19\/dont-be-left-guessing-the-future-use-predictive-analytics\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Don\u2019t be left guessing the future \u2013 use predictive analytics - Digiterre USA\" \/>\n<meta property=\"og:description\" content=\"It\u2019s easy to be put off by the jargon. 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Predictive? Are you really telling me you can predict the future? You\u2019d be right in a way, as predictive analytics doesn\u2019t tell you what will happen in the future. 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