Predictive analytics is improving the world of business, health, science, and marketing. The ability of predictive analytics to accurately predict the future using historical data has made it a must-have in every type of organization. Predictive analytics utilizes several tools like IBM, Microsoft, SAS Institute, and Q Research to analyze historical data to predict the future. Its purpose is to help organizations meet better decisions. Predictive analytics helps organizations predict consumer behavior, thus, giving them the best tool to place them ahead of the competition.
Predictive Analytics is a growing industry with the potential of reaching $21.5 billion in 2025. But predictive analytics is still way behind in its potential. Researchers believe that a combination of Machine Learning and predictive analytics would revolutionize the modern world.
Machine learning is a tool from Artificial Intelligence that performs better. Machine learning processes a vast amount of data, and unlike AI, it executes such commands with being programmed. While Predictive analytics seeks to predict the future, machine learning wants to access and process data on its own. This makes them a good fit. Machine Learning can develop numerous algorithms to utilize vast historical data to provide predictive analytics with structured, ready to use data.
Users and Usage
To better understand predictive analytics and machine learning, we should first know their users and why they are being used.
Users And Usage Of Predictive Learning
Predictive learning is specifically used by organizations seeking to provide answers to specific important questions that will facilitate growth and development. Predictive learning aims at confidently providing answers that an organization can utilize to increase productivity, customer relations, and balance cost.
Users And Usage Of Machine Learning
Machine learning is a big data tool used by all kinds of organizations. It helps to interpret data, but not for specific reasons. It’s general, in the sense that it interprets data without prejudice or bias for an organization’s goal. Machine Learning doesn’t answer questions about consumer behavior or predict future trends in the market.
Machine Learning is basically a system that serves as a tool for data-hungry applications and systems, like predictive Analytics. Its already interpreted data can be employed by organizations and used as primary data for personal research.
Machine Learning And Predictive Analytics
The major limitation of predictive analytics is the lack of data. With a readily available sea of data, predictive analytics would answer any question thrown at it by any organization. Machine Learning on the other hand has no programmed end game. Its purpose is to bask itself in data, accessing, processing, and interpreting.
Predictive Analytics uses 2 kinds of data—structured and unstructured. Structured data includes prepared data that doesn’t need further interpretation. Unstructured data can be stressful because of its demands. It first needs processing, interpretation, and presentation. And is susceptible to manipulation. Also, it’s time-wasting.
Machine learning can save predictive analytics ample time by processing and interpreting data beforehand. The capacity of machine learning makes it one of the biggest and most important tools for predictive analytics.