Predictive Analytics using Statistical Analysis
Predictive analytics is a kind of advanced analytics that leverage historical as well as new data to forecast activity, behaviour and trends. This includes applying statistical analysis techniques, analytical queries and machine learning algorithms to data sets in order to create predictive models that place numerical values or scores.

In this data-driven and intelligence era, predictive analytics leverage various technologies like big data analytics, IoT, Cloud and AI. Machine learning has made predictive analytics highly efficient by analysing large amounts of data.
Let’s have a sneak peek of the industries those use predictive analytics.
Automobile industry is massively competitive and service providers continually looking out for several ways to take driving experience to the next level. They are always keen to deploy cutting-edge technologies, sensors to ensure customer safety and experience. As most of the automobiles are all set to be connected to the internet of things, the role of predictive analytics has its own significance. The new autonomous vehicles and driver assistance technologies are using predictive analytics to analyze sensor data from connected vehicles and develop driver assistance algorithms.
In the energy and utility industry, predictive analytics is being used to predict the demand-supply. Highly sophisticated forecasting apps use predictive models to monitor plant availability, seasonality, and changing weather pattern. Predictive analytics can potentially save huge money and resources in this industry.
The banking and financial industry is the first industry to start using predictive analytics. Due to the large volume of sensitive data, BFSI service providers use predictive analytics to offer customized offerings. Predictive analytics is also being used to find opportunities for cross-selling and up-selling, find patterns of fraud and malpractices among a host of other things. One of the common use cases of predictive analytics in the banking industry is the use machine learning techniques and quantitative tools to predict credit risk.
Prediction and prevention go hand-in-hand, perhaps nowhere more closely than in the world of population health management. Machine learning strategies are particularly well suited to predicting clinical events in the hospitals. Organizations that can identify individuals with elevated risks of developing chronic conditions as early in the disease’s progression as possible have the best chance of helping patients avoid long-term health problems that are costly and difficult to treat.
The retail industry is largely using predictive analytical tools and technologies to get customer insights. It also involves managing warehouse by stocking the right products, selling the right products to the right customers, offering the best discounts to influence sales, having the right strategy for marketing campaigns and advertising among other aspects.
Oil and gas industry is a big user of Predictive Analytics. This helps to save huge cost through greater predicting equipment failure, forecasting the need for future resources, ensuring safety and reliability measures are sufficed, and so on.
The manufacturing industry can use predictive analytics in order to streamline various processes, enhance service quality, supply chain management, optimizing distribution and other tasks for improving the overall business revenue.
The Cresco Approach
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Marketing Campaigns
Predictive analytics is being used to drive data-driven customized marketing campaigns, understanding customer behaviour, customer approach, utilising the right strategy to create future marketing campaigns, measuring key performance indicators and maximizing campaign ROI.
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Enhancing Operational Efficiency
Many organizations today leveraging predictive analytics to streamline various business operations such as managing the demand-supply, logistics, inventory, resource, cross-selling etc.
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Risk Management
Predictive analytics application for identifying more about the customer’s reluctance to purchasing a product, the various factors which prevent a customer from making the purchase decisions and discovering ways for how to reduce the risks involved.
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Fraud Detection
Using various analytical tools to find out more about the pattern discovery of the fraud transaction in financial domains, precluding the criminal actions, applying behavioral analytics to preclude fraud, investigating about zero-day vulnerabilities and eliminating the risks of advanced frauds.
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Customer Relationship Management (CRM)
To retain most customers and get them to purchase more from you, regression analysis and clustering techniques are being used in CRM systems which can allow you create customer groups based on their buying pattern, demographics, gender, age etc. This will help you optimize your customer life cycle, enabling you to launch more targeted & effective marketing efforts.
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Building Recommendation Engines
Personalized recommendations are being used by various industries such as e-commerce, food tech, online cab and others to boost their user loyalty and engagement. Collaborative filtering is a predictive analytics technique which uses past behaviour to create recommendations.
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Improving Employee Retention
HR departments of several Fortune 500 companies are using predictive analytics to improve their hiring and employee management policies. Data from the HR database can be used to optimize the hiring process and identify the best talent from the industry. Performance data and employee personality profiles can be evaluated to identify when an employee is likely to leave so that proactive efforts can be made to retain best talent pools.
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Predictive Analytics is set to grow at an enormous speed as the need for making data-driven decisions are raising. Organizations are now aware of the importance of their data and intend to derive the maximum benefits from it using predictive analytics to achieve a competitive edge as well as business efficiency.
