Data Mining Research Paper

Submitted By Red-Dragon
Words: 1708
Pages: 7
Open Document
Data Mining

Strayer University

Abstract
Data mining or knowledge discovery is the process of analyzing large amounts of data from many sources then summarizing that information into a useable format to make informed decisions. Using the software to perform analysis and using analytical tools allows us to see data from many different angels. In addition, we can see patterns and/or correlations with other large relational databases. This ability to see the behavior of our customers helps companies develop strategies for the selling of existing and future products. In this paper, we explorer benefits to the business, associations of products, intelligence of our customers, clustering of information, validity of data mining algorithms, and security.
Data Mining
Determine the benefits of data mining to the businesses when employing predictive analytics to understand the behavior of customers.
In order to maintain a competitive edge in the economy, it is good to know what your customer wants. Why spend time developing, marketing, and selling a product that no one really needs nor wants. Using advanced algorithms in data mining, we can predict what our customers want and need. When data mining is used, the benefits not only apply to businesses but also weather forecasting, root cause analysis, medicine, and many other facets of life. Specifically when looking at the benefits to the business Marketing and Retail benefit highly from using Data Mining. In marketing, valid predictions are made as to the reaction of new sales campaigns and in Retail, companies can offer discounts for particular items.
Determine the benefits of data mining to the businesses when employing associations’ discovery in products sold to customers.
The function of association analysis is to find patterns in processes such as a customer who buys steak also buys potatoes. Association Analysis uses historical data to generate a working model. When using the market-basket analysis, the application of association modeling, marketing campaigns created surrounded by the idea if you buy the item “A” at full cost you can also get item “B” at a reduced cost benefits a business in attracting new customers. Another example would be 85% of the time when a customer purchases cereal they also buy milk. How many times have you ventured into an unknown store looking for a group of items that normally would take about 5 min at your regular store but took 30 min because items are not collocated? Using this idea a retail store can adjust the location of products to be closer together so a visitor to the store has a better customer experience and may return and or tell others.

Determine the benefits of data mining to the businesses when employing Web mining to discover business intelligence from Web customers. Web data mining produces intelligence by analyzing structured and unstructured web data sources. Using the information gathered websites such as www.shopnational.com show other items you may also like dependent on what your selection is. So as seen in the example this can increase profits as a customer is on the website and buys more than what they first came for. Furthermore, the information gathered from web mining can create specific customer profiles that can lead to marketing that is more efficient. A business can offer a more personalized service to the customer as well as find new potential customers.
Determine the benefits of data mining to the businesses when employing clustering to find related customer information. Clustering is a group of objects derived from the data mined information. It is an attempt to group together dissimilar objects in a single group. For example, taking the whole data and separating out just Males regardless of what purchase made. Marketing uses this form of data mining to determine their customer base and for characterization based on purchasing patterns. Clustering technique’s benefits business by
Show More

Related Documents: Data Mining Research Paper

Data Mining Essay

DATA MINING Data mining has emerged as an important tool for identifying useful information from data in almost all industries. Industries are using data mining to increase revenue and reduce costs. According to Seidman (2001), “Data mining is particularly valuable for organizations that collect large quantities of historical information. Banks, insurance companies, credit card companies...use this technology to derive critical information from large, unwieldy data samples.” (p. 6). “We…

Words 1773 - Pages 8

Data Mining Essay

PART 1 - DATA, TEXT, AND WEB MINING TECHNICAL REPORT 1 INTRODUCTION The purpose of this report is to examine the different types of mining and provide insight into their applicable use and relevance. It also provides a number of notable uses for each type of mining along with some personal reflection from the author on the implications of mining on privacy and ethics. 2 BACKGROUND Turban, Sharda and Delen (2011) define data mining as “a term used to describe discovering or mining knowledge from…

Words 1207 - Pages 5

Outliers In Data Mining

Abstract- Outlier detection is an active area for research in data set mining community. Finding outliers from a collection of patterns is a very well-known problem in data mining. Outlier Detection as a branch of data mining has many applications in data stream analysis and requires more attention. An outlier is a pattern which is dissimilar with respect to the rest of the patterns in the data set. Detecting outliers and analyzing large data sets can lead to discovery of unexpected knowledge in area…

Words 784 - Pages 4

Data Mining Essay

What is data mining? How can it be integrated into the business strategies? Data is collected from different operational databases, this data is limited in scope and therefore is used mainly for transaction processing When the summarized data from different departments within the company is collected it is stored in a data warehouse in a multidimensional database. The information that can be pulled from this data is used to support decision making. However the way the information is stored in…

Words 647 - Pages 3

Analytics In Data Mining

Abstract Simply collecting data for research is nearly a faux pas in today’s competitive web-market. Analysts are now looking toward the predictive analytics of association discovery in web and data mining, to find Business Intelligence of clustering sub=populations while eliminating errors to keep collected data valid. In the midst this data crunch are fears of lost privacy. Do not fear. Creative innovations are bringing mash-ups to our diversity. Data Analytics Report Useful information…

Words 1568 - Pages 7

Essay on Data Mining

Harrah’s script Good evening everyone. I am Shixin. Today my group member Na and I will talk about a data mining case study about Harrah’s. In this presentation, we will introduce the company background at first, and then tell you the company’s objective. After discussing the current resource and application, we will come up with the method improvement. In the end, we will make a summary. Firstly, let’s look at the company background. Harrah’s is the world’s largest casino company. It is an entertainment…

Words 323 - Pages 2

data mining Essay

INFO 650 Business Data Mining Fei Chen…

Words 509 - Pages 3

Essay about Data Mining

Assignment 4: Data Mining Data mining is consider analyzed data-collect from different aspects and summary that is transformed into useful information. Companies does this Predicive analytics is a predictor which is measured per customer. For instance, recency, which prefers to the past customer to recent customers.there will be a higher value from past customers then present. "That means that if you contact your customers in order of recency -- first, call the most-recent customer; next, call…

Words 1149 - Pages 5

Data Mining and Frequent Itemset Mining Essay

Data Mining: Concepts and Techniques (3rd ed.) — Chapter 6 — Jiawei Han, Micheline Kamber, and Jian Pei University of Illinois at Urbana-Champaign & Simon Fraser University ©2013 Han, Kamber & Pei. All rights reserved. Adapted for CSE 347-447, Lecture 5b, Spring 2015 1 Chapter 6: Mining Frequent Patterns, Association and Correlations: Basic Concepts and Methods n Basic Concepts n Frequent Itemset Mining Methods n Which Patterns Are Interesting?—Pattern Evaluation Methods n Summary 2…

Words 1189 - Pages 5

Data Mining N Essay

Data Mining: Concepts and Techniques (3rd ed.) Jiawei Han, Micheline Kamber, and Jian Pei University of Illinois at Urbana-Champaign & Simon Fraser University ©2011 Han, Kamber & Pei. All rights reserved. Adapted for CSE 347-447, Lecture 1b, Spring 2015 11 Introduction n Why Data Mining? n What Is Data Mining? n A Multi-Dimensional View of Data Mining n What Kind of Data Can Be Mined? n What Kinds of Patterns Can Be Mined? n What Technologies Are Used? n What Kind of…

Words 3142 - Pages 13