Q. What is
Data Mining? / What do you understand by Data Mining?
Ans:
Data Mining is a process
of extracting usable data from a more extensive set of raw data by using some
methods along with machine learning, statistics, and database systems. It
implies analyzing data patterns in large batches of data using one or more
software. Data mining is a specific subfield of Computer Science and
Statistics. The main goal of Data Mining is to extract information (using
intelligent methods) from a data set and transform the information into an
understandable structure for further use.
Using Data Mining,
businesses can learn more about their customers and develop more effective
strategies to expand their various business functions and utilize their
resources more optimally and insightfully. Data mining consists of useful data
collection and warehousing as well as computer processing. It makes businesses
to attain their objective and makes better decisions.
Q. What is the difference between Data Mining and
Data Warehousing?
Ans:
Data
Warehousing mainly focuses on extracting data from different sources, cleaning
the data, and storing it in the warehouses. On the other hand, Data Mining is
used to study and explore the data using queries. In this process, the meaning
pattern or data is extracted. We can also fire these queries on the data
warehouses. After Data Mining, the explored information is used to report, plan
strategies, find meaningful patterns, etc.
Example: A
company's data warehouse stores all the relevant information of projects and
employees. We can apply Data Mining queries to this data warehouse to get
useful records.
Q. What is the
Naive Bayes Algorithm in Data Mining?
Ans:
The Naive
Bayes Algorithm is widely used in Data Mining to generate mining models. After
that, these generated models are generally used to identify the relationship
between the input columns and the predicated available columns. This algorithm
is mainly used during the initial stages of the explorations.
Q. What is Clustering Algorithm in Data
Mining?
Ans:
In Data
Mining, the clustering algorithm is used to group sets of data with similar
characteristics (also known as clusters). By the use of these clusters, we can
make faster decisions and explore data. First, this algorithm identifies the
relationships in a dataset, and then it generates a series of clusters based on
the relationships. The process of creating clusters is also repetitive.
Q. Which are the most popular areas of
applications of Data Mining?
Ans:
Following is
the list of the most popular area of application of Data Mining Applications for
Finance.
- Healthcare
- Intelligence
- Telecommunication
- Energy
- Retail
- E-commerce
- Supermarkets
- Crime Agencies
- Businesses Benefit from Data
Mining
Q. Explain the time series algorithm in Data
Mining?
Ans:
In Data
Mining, the time series algorithm is mainly used for that type of data where
the values are changed continuously based on time. For example, age.
This algorithm
is used to predict the data set and then keep track of the continuous data and
successfully choose the correct data. It also generates a specific model to
predict the data's future trends based on the entire original data sets.
Q. What are
the key features of Data Mining?
Ans:
Data mining
has many applications in multiple fields, like science and research. Following
is the list of key features of Data Mining:
Ø
By trend and
behavior analysis of the data, we can create automatic pattern predictions.
Ø
We can create
decision-oriented information.
Ø
We can focus
on large data sets and databases for analysis.
Ø
We can predict
the behavior based on the outcomes.
Ø
Clustering
based on finding and visually documented groups of facts not previously known.
Q. What are
the different fields where data mining is used?
Ans:
Data Mining is
mainly used by big consumer-based companies that focus on retail, financial,
communication, and marketing fields. It is used to get the consumer's
transactional data pattern to determine price, customer preferences, and
product positioning, which later impact sales, customer satisfaction, and
corporate profits.
Following is the
list of most important areas where data mining is widely used:
Healthcare and
Personal Grooming
Data mining
has a significant impact in the field of healthcare. It uses data and analytics
to identify the best practices that can improve care and reduce costs.
Scientists use several Data Mining approaches like multi-dimensional databases,
machine learning, soft computing, data visualization, statistics, etc., to make
things easy for patients. Using Data Mining, we can predict the volume of
patients in every category and make sure that the patients get the appropriate
care at the right place and at the right time.
Market Basket
Analysis
This modeling
technique follows the theory that if you buy a specific group of items, you are
more likely to buy another group of items. Using this technique, the retailer
can understand the purchase behavior of a buyer and change the store's layout
according to the buyer's needs.
Education
& Training
Educational
Data Mining is used to identify and predict the students' future learning
behavior. If a student is studying a particular course, then the institutes can
know which related course they may apply later by using Data Mining. This is
also beneficial to make focus on what to teach and how to teach. The institutes
can capture the learning pattern of the students and use to develop techniques
to teach them.
Manufacturing
Engineering
By using Data
mining tools, we can discover patterns in complex manufacturing processes. We
can use this to predict the product development span time, cost, and
dependencies, among other tasks.
Fraud
Detection
Data Mining
can be used as a perfect fraud detection system to protect the information of
all users. By Data Mining, we can classify fraudulent or non-fraudulent data
and make an algorithm to identify whether the record is fraudulent or not.
Customer
Relationship Management
We can use
Data Mining to maintain a proper relationship with a customer.
Some other
areas where data mining is used:
Ø
Intrusion
Detection
Ø
Lie Detection
Ø
Customer
Segmentation
Ø
Financial
Banking
Ø
Corporate
Surveillance
Ø
Research
Analysis
Ø
Criminal
Investigation
Ø
Bio
Informatics
Q. What do you
understand by DMX in the context of Data Mining?
Ans:
DMX is an
acronym that stands for Data Mining Extensions. It is a query language for Data
Mining models supported by Microsoft's SQL Server Analysis Services product.
Same as SQL also supports a data definition language, data manipulation
language, and a data query language, all three with SQL-like syntax.
- Data Definition: This is used to define
and create new models and structures.
- Data Manipulation: This is used to
manipulate data based on the requirement.
Q. What are the different functions of Data
Mining?
Ans:
Following is
the list of different functions of Data Mining:
- Characterization
- Association and correlation
analysis
- Classification
- Prediction
- Cluster analysis
- Evolution analysis
- Sequence analysis
Q. What do you understand by data aggregation
and data generalization?
Ans:
Data
Aggregation: Data aggregation is a process where data is
aggregated altogether, and we can construct a cube for data analysis purposes.
Data
generalization: Data generalization is a process where high-level
data replace low-level data to make it more meaningful and generalized.
Q. What do you understand by Data Mining
Interface?
Ans:
The Data
Mining Interface is used to improve the quality of the queries we use in Data
Mining. It is nothing but a GUI form for Data Mining activities.
Q. What do you understand by the term Cluster
Analysis?
Ans:
In the context
of Data Mining, the term cluster analysis is an important type of analysis that
is used in market research, pattern recognition, data analysis, and image
processing, etc.
Q. What are
the advantages and disadvantages of using the ROLAP storage model?
Ans:
The term ROLAP
stands for "Relational Online Analytical Processing." In this storage
model, the data is stored in the form of a relational database.
Advantages of
using the ROLAP storage model:
- In this storage model, the data
is stored in relational databases so, it is easy to handle a large amount
of data storage.
- It provides all the
functionalities as it is a relational database.
Disadvantages
of using the ROLAP storage model:
- The most significant
disadvantage of this storage model is that it is comparatively slow.
- All other disadvantages we face
in SQL are the same in this storage model also.
Q. What are the advantages and disadvantages
of using the HOLAP storage model?
Ans:
The term HOLAP
stands for "Hybrid Online Analytical Processing." It is a combination
of MOLAP and ROLAP. This is a hybrid storage model and was built to overcome
the MOLAP and ROLAP storage model's limitations.
Advantages of
using the HOLAP storage model:
Ø
It provides
better accessibility in comparison to both ROLAP & MOLAP storage models.
Ø
Because of its
cache facility, the querying is faster in this storage model.
Ø
The query
performance is moderate. It is faster than ROLAP but slower than MOLAP.
Ø
Its cubes are
smaller than MOLAP, so only precise data is fetched for processing.
Ø
It is best
when data volume is expected to increase over time.
Ø
Its processing
ability is higher as compared to ROLAP and MOLAP systems.
Disadvantages
of using HOLAP storage model:
Ø
In this
storage model, both ROLAP and MOLAP are combined to form HOLAP, so the data
volume is large.
Ø
It occupies a
lot of storage space, as it contains the data from relational databases and
multidimensional databases.
Ø
The processing
speed is slow while querying.
Ø
It requires
system processing whenever data is updated, inserted, or deleted in the
database.
Ø
We need to
update the cache whenever an update happens in the database associated with the
stored queries and relational data.
Ø
Maintenance is
complex in this storage model because it quite often updates.
Q. What are the different problems that
"Data Mining" can solve?
Ans:
Data Mining
can solve the following types of problems:
- Data Mining is mainly used to
analyze data and make faster business decisions, increasing revenue with
lower costs.
- Data Mining also helps to
understand, explore and identify patterns of data.
- Data Mining is used to automate
the process of finding predictive information in large databases.
- It is used to identify
previously hidden patterns.
Q. What are the different types of Data
Mining?
Ans:
We can classify
Data Mining into the following types:
Ø
Selection
Ø
Integration
Ø
Data cleaning
Ø
Pattern
evaluation
Ø
Data
transformation
Ø
Knowledge
representation etc.
Q. What are the different techniques used for
Data Mining?
Ans:
Following is
the list of most important Data Mining techniques:
Prediction: This
technique specifies the relationship between independent and dependent
instances. For example, while considering sales data, if we want to predict the
future profit, the sale acts as a separate instance, whereas the payoff is the
dependent instance. Accordingly, based on sales and profit's historical data,
the associated profit is the predicted value.
Decision
trees: It specifies a tree structure where the decision
tree's root acts as a condition/question having multiple answers. Each answer
sets to specific data that helps in determining the final decision based on the
data.
Clustering
analysis: This technique specifies that a cluster of objects
having similar characteristics is formed automatically. The clustering method
defines classes and then places suitable objects in each class.
Sequential
Patterns: This technique is used to specify the pattern
analysis used for discovering identical patterns in transaction data or regular
events. For example, customers' historical data helps a brand identify the
patterns in the transactions that happened in the past year.
Classification
Analysis: This is a Machine Learning based method in which
each item in a particular set is classified into predefined groups. It uses
advanced techniques like linear programming, neural networks, decision trees,
etc.
Association
rule learning: This technique is used to create a pattern based on
the items' relationship in a single transaction.
Q. What do you understand by Data Purging?
Ans:
Data Purging
is a process that is used in database management systems to maintain relevant
data in a database. It is used to clean the junk data by eliminating or
deleting the row and columns' unnecessary NULL values. It is essential because
whenever we need to load new data in the database, we have to purge the
irrelevant data from the database.
Using Data
Purging of the database frequently, we can remove the junk data that takes up a
fair amount of database memory and slow down the database's performance. So, we
can say that data purging is mandatory when the database's size gets too large.
Q. What are cubes in Data Mining?
Ans:
In Data
Mining, cubes or data cubes are used to store data in a summarized version to
analyze this faster when required. The data is stored in such a way that reporting
becomes very easy.
For example,
Organizations use data cubes to analyze the weekly or monthly performance of
their employees. Here, month and week are considered as the dimensions of the
cube.9) What is the difference between OLAP and OLTP?
The terms OLAP
and OLTP look similar but refer to different kinds of systems. We can divide an
IT system into two categories: Analytical Process and Transactional Process.
OLAP |
OLTP |
OLAP stands for Online Analytical Process. |
OLTP stands for Online Transactional Process. |
OLAP process consists of complex queries that are
applied to large amounts of historical data aggregated from OLTP databases
and other sources. |
The OLTP process captures and maintains transaction
data in a database. |
This process is mainly used in data mining, analytics,
and business intelligence projects. |
In this process, each transaction involves individual
database records made up of multiple fields or columns. For example, banking
and credit card activity or retail checkout scanning. |
In OLAP, the main focus is on response time to these
complex queries. Each query involves one or more columns of data aggregated
from many rows. |
In OLTP, the main focus is on fast processing because
OLTP databases are read, written, and updated frequently. If a transaction
fails, built-in system logic ensures data integrity. |
Low volumes of transactions categorize OLAP. |
Short online transactions categorize OLTP. |
An example of OLAP is the year-over-year financial
performance or marketing lead generation trends of an organization. |
An example of OLTP is banking and credit card activity
or retail checkout scanning. |
The query failure in OLAP does not interrupt or delay
transaction processing for customers, but it can delay or impact business intelligence
insights' accuracy. |
The OLTP databases are read, written, and updated
frequently, so if a transaction fails, built-in system logic ensures data
integrity. |
Q. What are the different storage models
available in OLAP?
Ans:
There are
mainly three storage models available in OLAP. They are:
- MOLAP: Multidimensional Online
Analytical Processing
- ROLAP: Relational Online
Analytical processing
- HOLAP: Hybrid Online Analytical
Processing
There are some
advantages and disadvantages of using the above storage models.
Q. What are foundations of data
mining?
Ans:
Generally,
we use it for a long process of research and product development. Also, we can
say this evolution was started when business data was first stored on
computers. We can also navigate through their data in real time. Data Mining is
also popular in the business community. As this is supported by three
technologies that are now mature: Massive data collection, Powerful
multiprocessor computers, and Data mining algorithms.
Q. What is the scope of data
mining?
Ans:
Ø
Automated prediction of trends
and behaviors. We use to automate the process of finding predictive information
in large databases. Also, questions that required extensive hands-on analysis
can now be answered from the data. Moreover, targeted marketing is a typical
example of predictive marketing. As we also use data mining on past promotional
mailings.
Ø
Automated discovery of previously
unknown patterns – As we use data mining tools to sweep through databases.
Also, to identify previously hidden patterns in one step. Basically, there is a
very good example of pattern discovery. As it is the analysis of retail sales
data. Moreover, that is to identify unrelated products that are often purchased
together.
Q. What are advantages of data
mining?
Ans:
Basically,
to find probable defaulters, we use data mining in banks and financial
institutions. Also, this is done based on past transactions, user behaviour and
data patterns.
Generally,
it helps advertisers to push the right advertisements to the internet. Also, it
surfer on web pages based on machine learning algorithms. Moreover, this way
data mining benefit both possible buyers as well as sellers of the various
products.
Basically,
the retail malls and grocery stores peoples used it. Also, it is to arrange and
keep most sellable items in the most attentive positions.
Q. What are the cons of data
mining?
Ans:
Security: The time at which users
are online for various uses, must be important. They do not have security
systems in place to protect us. As some of the data mining analytics use
software. That is difficult to operate. Thus they require a user to have
knowledge based training. The techniques of data mining are not 100% accurate.
Hence, it may cause serious consequences in certain conditions.
Q. Name Data mining techniques?
Ans:
Ø Classification
Analysis
Ø Association
Rule Learning
Ø Anomaly
or Outlier Detection
Ø Clustering
Analysis
Ø Regression
Analysis
Ø Prediction
Ø Sequential
Patterns
Ø Decision
trees
Q. Give a brief introduction to
data mining process?
Ans:
Basically, data mining is the
latest technology. Also, it is a process of discovering hidden valuable
knowledge by analyzing a large amount of data. Moreover. we have to store that
data in different databases. As data mining is a very important process. It
becomes an advantage for various industries.
Q. Name types of data mining?
Ans:
Ø Data
cleaning
Ø Integration
Ø Selection
Ø Data
transformation
Ø Data
mining
Ø Pattern
evaluation
Ø Knowledge
representation
Q. Name the steps used in data
mining?
Ans:
Ø
Business understanding
Ø
Data understanding
Ø
Data preparation
Ø
Modeling
Ø
Evaluation
Ø
Deployment
Q. Name methods of clustering?
Ans:
They
are classified into the following categories −
Ø
Partitioning Method
Ø
Hierarchical Method
Ø
Density-based Method
Ø
Grid-Based Method
Ø
Model-Based Method
Ø
Constraint-based Method
Ø
Q. What do OLAP and OLTP stand
for?
Ans:
Basically,
OLAP is an acronym for Online Analytical Processing and OLTP is an acronym for
Online Transactional Processing.
Q. Define metadata?
Ans:
Basically,
metadata is simply defined as data about data. In other words, we can say that
metadata is the summarized data that leads us to the detailed data.
Q. List the types of OLAP
server?
Ans:
Basically,
there are four types of OLAP servers, namely Relational OLAP, Multidimensional
OLAP, Hybrid OLAP, and Specialized SQL Servers.
Q. Name areas of applications
of data mining?
Ans:
Ø Data
Mining Applications for Finance
Ø Healthcare
Ø Intelligence
Ø Telecommunication
Ø Energy
Ø Retail
Ø E-commerce
Ø Supermarkets
Ø Crime
Agencies
Ø Businesses
Benefit from data mining
Q. What is required
technological drivers in data mining?
Ans:
Ø Database
size: Basically, as for maintaining and processing the huge amount of data, we
need powerful systems.
Ø Query
Complexity: Generally, to analyze the complex and large number of queries, we
need a more powerful system.
Q. Give an introduction to data
mining query language?
Ans:
It
was proposed by Han, Fu, Wang, et al. for the DB Miner data mining system.
Although, it was based on the Structured Query Language. These query languages
are designed to support ad hoc and interactive data mining. Also, it provides
commands for specifying primitives. We can use DMQL to work with databases and
data warehouses as well. We can also use it to define data mining tasks. Particularly
we examine how to define data warehouses and data marts in DMQL.
Q. Give a brief introduction to
data mining knowledge discovery?
Ans:
Generally,
most people don’t differentiate data mining from knowledge discovery. While
others view data mining as an essential step in the process of knowledge
discovery.
Q. Explain steps involved in
data mining knowledge process?
Ans:
Data Cleaning −
Basically,
in this step, the noise and inconsistent data are removed.
Data Integration −
Moreover,
in this step, multiple data sources are combined.
Data Selection −
Furthermore,
in this step, data relevant to the analysis task are retrieved from the database.
Data Transformation −
Basically,
in this step, data is transformed into forms appropriate for mining. Also, by
performing summary or aggregation operations.
Data Mining −
In
this, intelligent methods are applied in order to extract data patterns.
Pattern Evaluation −
While,
in this step, data patterns are evaluated.
Knowledge Presentation −
Generally,
in this step, knowledge is represented
Q. What are issues in data
mining?
Ans:
Ø A
number of issues that need to be addressed by any serious data mining package
1.
Uncertainty Handling
2.
Dealing with Missing Values
3.
Dealing with Noisy data
4.
Efficiency of algorithms
5.
Constraining Knowledge Discovered
to only Useful
6.
Incorporating Domain Knowledge
7.
Size and Complexity of Data
8.
Data Selection
9.
Understandably of Discovered
Knowledge: Consistency between Data and Discovered Knowledge.
Q. Name methods of
classification methods?
Ans:
Ø Statistical
Procedure Based Approach
Ø Machine Learning Based Approach
Ø Classification
Algorithms
Ø ID3
Algorithm
Ø C4.5
Algorithm
Ø K
Nearest Neighbors Algorithm
Ø
H. Naïve Bayes Algorithm
Ø
SVM Algorithm
Ø
J. ANN Algorithm
Ø
K. 48 Decision Trees
Ø
l. Support Vector Machines
Ø
M. SenseClusters (an adaptation
of the K-means clustering algorithm)
Q. Explain Machine Learning
Based Approach?
Ans:
Ø Generally,
it covers automatic computing procedures. Also, it was based on logical or
binary operations. Further, we use to learn a task from a series of examples.
Ø Here,
we have to focus on decision-tree approaches. Also, ss classification results
come from a sequence of logical steps.
Ø Also,
its principle would allow us to deal with more general types of data including
cases. While, the number and type of attributes may vary.
Q. Explain ID3 Algorithm?
Ans:
Generally,
the id3 calculation starts with the original set as the root hub. Also, on
every cycle, it emphasizes through every unused attribute of the set and
figures. Moreover, the entropy of attribute. Furthermore, at that point chooses
the attribute. Also, it has the smallest entropy value.
Q. What are the advantages and disadvantages
of using the MOLAP storage model?
Ans:
The term MOLAP
stands for "Multidimensional Online Analytical Processing." As the
name shows, it is a multidimensional storage model. This storage model type
stores the data in multidimensional cubes and not in the standard relational
databases.
Advantages of
using the MOLAP storage model:
- It stores the data in
multidimensional cubes, so the query performance is excellent.
- The calculations are
pre-generated when a cube is created.
Disadvantages
of using the MOLAP storage model:
- The most significant
disadvantage of using MOLAP is that it can store only a limited amount of
data. In this storage model, the calculations are triggered at the cube
generation process so, it cannot support a large amount of data.
- It requires a lot of skill to
utilize this.
- It is not free. You have to pay
the license cost associated with it.
Q. What is Discrete and Continuous data in
Data Mining?
Ans:
In Data
Mining, discreet data is a type of data defined as finite data. This type of
information is never changed.
Example: Mobile
numbers, gender, etc. are the example of discreet data.
On the other
hand, continuous data is a type of data that changes continuously and in an
ordered fashion.
Example: Age is
an example of continuous data.
Q. What do you understand by a model in Data
Mining?
Ans:
In Data
Mining, models help the different algorithms in decision making or pattern
matching. In the second stage of Data Mining, we consider various models and
choose the best one according to their predictive performance.
Q. How do Data Mining and Data Warehousing
work together?
Ans:
Generally,
Data Mining and Data Warehousing work together. Data Warehousing is used to
analyze the business needs by storing data in a meaningful form, and Data
Mining is used to forecast the business needs. So, here Data Warehouse can act
as a source of this forecasting.
Q. What are the different stages used in
"Data Mining"?
Ans:
Following are
the three different stages used in Data Mining:
- Exploration: Exploration is the first
stage of Data Mining. This stage involves the preparation and collection
of different data sets like cleaning, transformation, etc. Based on
different types of available data sets, various tools are used to analyze
the data.
- Model building and validation: This is the validation
stage where the data sets are validated by applying different models by
comparing the data sets for best performance. This particular step is
called pattern identification. This is a critical process because the user
has to identify which pattern is best suitable for easy predictions.
- Deployment: This is the last stage
where the best-chosen pattern is applied for the data sets. It is used to
generate predictions, and it helps in estimating expected outcomes.
Q. What is a Model in the field of Data
Mining?
Ans:
Model is an essential
factor in Data Mining activities. It is used to define algorithms that help in
decisions making and pattern matching.
Q. What are
the required technological drivers in Data Mining?
Ans:
In Data
Mining, we have to deal with mainly two things, database size, and query
complexity.
- Database size: In Data Mining, we have
to maintain and process a vast amount of data, so we must have a robust
system with enough storage space.
- Query Complexity: To analyze the complex
and large number of queries, we must require a powerful system with enough
RAM.
Q. What are Interval Scaled Variables?
Ans:
The continuous
measurement of linear scale is called Interval Scaled Variable. For example,
height and weight, weather temperature, etc. We can calculate these measurements
by using Euclidean distance or Minkowski distance.
Q. What are the most significant advantages of
Data Mining?
Ans:
There are many
advantages of Data Mining. Some of them are listed below:
Ø
Data Mining is
used to polish the raw data and make us able to explore, identify, and
understand the patterns hidden within the data.
Ø
It automates
finding predictive information in large databases, thereby helping to identify
the previously hidden patterns promptly.
Ø
It assists
faster and better decision making, which later helps businesses take necessary
actions to increase revenue and lower operational costs.
Ø
It is also
used to help data screening and validating to understand where it is coming
from.
Ø
Using the Data
Mining techniques, the experts can manage applications in various areas such as
Market Analysis, Production Control, Sports, Fraud Detection, Astrology, etc.
Ø
The shopping
websites use Data Mining to define a shopping pattern and design or select the
products for better revenue generation.
Ø
Data Mining
also helps in data optimization.
Ø
Data Mining
can also be used to determine hidden profitability.
Because of the
above reasons, Data Mining has become very popular nowadays and used by
numerous industries, including marketing, advertising, IT/ITES, business
intelligence, and even government intelligence organizations.
Q. What are the most significant disadvantages
of Data Mining?
Ans:
Besides a lot
of advantages, Data Mining has some disadvantages too. Following is the list of
some of them:
Security
Issues
Security is
the biggest issue of Data Mining. Companies have information about their
employees and customers, including social security numbers, birthdays, payroll,
etc. However, this is always in the question that how they take care of this
information. Hackers can access and steal customers' information, including
personal and financial information, and may misuse it.
Privacy Issues
Due to Data
Mining, concerns about personal privacy have been increasing enormously
recently, especially in the age of the internet with social networks,
e-commerce, online banking, etc. People can lose their personal and
confidential information, which can cost them big troubles.
Misuse of
information/inaccurate information
Data Mining
doesn't ensure you give the correct information always. Information collected
through Data Mining can be intended for ethical purposes and be misused.
Hackers or unethical businesses can exploit people by using this information.
Q. Which are the main prominent fields and
areas where Data Mining is used?
Ans:
Data Mining is
mainly used in the following fields:
Finance &
Banking Sectors
Data Mining is
very important in the finance & banking field because data extraction
provides financial institutions information on loans and credit reports. It
facilitates us to create a model for historic customers by determining their
good or bad credits. It is also used to detect fraudulent transactions by
credit cards that protect a credit card owner.
Marketing
& Retails
Marketing
companies use Data Mining to create models based on the shopping history of
their customers. By using this technique, they can sell profitable products to
their targeted customers.
Increasing
Brand Loyalty
Companies use
Data Mining techniques in marketing campaigns after understanding their
customers' needs and habits. After getting the right information, the companies
can quickly increase their brand loyalty.
Helps in
Decision Making
Companies use
Data Mining techniques to help them in making some decisions in marketing or
business. By using this technology, it is effortless to determine all
information. Also, the company can decide what is unknown and unexpected.
To Predict
Future Trends
Data Mining
can be used to predict future trends by studying the data patterns for a long
time. It can also help people to adopt behavioral changes.
Increase
Company Revenue
Data mining
technology involves collecting information on goods sold online. This can
eventually reduce the cost of products and increase the company revenue.
Determining
Customer Groups
Data Mining
provides market analysis so we can get a response directly from customers. It
also includes information during the identification of customer groups.
Increases
Website Optimization
Data Mining
can find all kinds of unseen element information, which can help you optimize
your website.
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