Data mining is an integral and essential component of knowledge discovery process that analyzes loads and loads of data and filters out necessary information for you. Data mining is implemented efficiently not only in the businesses, but other aspects like medicine, weather forecast, healthcare, transportation, insurance, government etc. Data mining comes bearing loads of advantages when used in a specific industry. Fresche iSeries solutions list some of the advantages of data mining.
- Marketing and retail
Data mining assists the marketing companies to establish models on the basis of past data to forecast who will respond to the new marketing campaigns. Then, on the basis of the results, marketers come up with a proper approach to sell the profitable products to the target market. Data mining comes bearing many benefits to retail companies too. With the help of market basket analysis, a store can have a proper production organization where the customers can purchase frequently bought products in peace. It also helps the retail companies provide many discounts on products to lure in more leads.
- Finance and banking
Data mining offers the financial companies data about the loan information and credit reporting. When establishing a model from past customers’ data, the bank and the financial companies can ascertain good and bad loans. Apart from this, data mining assists the banks to detect fraudulent credit card transactions in order to protect the holder of the credit card.
By integrating data mining in operation engineering data, manufacturers can detect faulty parts and establish optimal control parameters. Data mining is also applied to establish the ranges of control parameters that cause the production of the final product. These new optimal control parameters are used to manufacture the final products with good quality.
Data mining assists the government agencies to dig, scoop and analyze the records of the financial companies to establish patterns that can help in detection of money laundering or criminal activity of any kind.
Data mining comes bearing a lot of benefits to businesses, governments, society and for the individuals as well. But all of this comes with a cost too. The disadvantages of data mining are privacy, security and misuse of data. These cons can be addressed by integrating and partnering with an elite IT consulting company like Fresce. They ensure that all these issues are being addressed and resolved properly.