Download Group2

Data
Mining
History, e-business applications, and
modern approach to data analysis
Team:
Asher, Eduardo
Geiger, Charles
Heth, Jennifer
Monjazi, Jonathan
Sanchez, Christian
Data Mining
The extraction of hidden predictive information from large databases.
Implement
Collect
Extract
Prepare
Evaluate
Data
(Clustering)
(Classification)
(Regression)
(Association
Rule Learning)
Predictive Analysis
Data Mining: the Beginning.
Classical
Statistics
•Regression Model
•Cluster Analysis
•Confidence
Intervals
Machine
Learning
Artificial
Intelligence (AI)
•Heuristic
•RDBMS
Data Mining in use.
E-business and Data Mining
Classification
Optimization
Segmentation
Visualization
Association
Clustering
E-business and Data Mining
True one-to-one marketing
effectiveness based on observed
behavior patterns
Concentrated effort on prospects
that are most likely to respond to
offer
E-business and Data Mining
• Market Basket Analysis
o Track Alpha Consumer
• Affinity Analysis
o Cross Selling
o Up-selling
• Sales Promotions
• Discount Plans
“A personalized internet experience”
Should the web match your interests?
• PhormDiscover
• In-page widgets
• Personalized Homepage
• OIX (Open Internet Exchange)
• ISP’s
• Publishers
• Advertisers
• PhormSecure
• Protect from malware and phishing
“Privacy by design”
• Phorm
o May 2009: 2075 UK Residents, 82% liked PhormDiscover
• MarketingCharts.com
o June 2008: Consumers willing to provide information in exchange for
personalized relevant shopping
• New York Times
o March 2008: Services providers on board with Phorm: BT, Carphone
Warehouse, Virgin Media
• New York Times
o July 2009: Setbacks, BT no longer service provider, Stocks dropped more
than 40%
• The Register
o October 2010: Crown Prosecution Service, BT-Phorm Case
• Track Website Performance
o Analyze how visitors find, navigate and
interact.
• Features
o Data Historical Trends
o Cross Channel and Multimedia
Tracking
o Visualizing Data
o Customized Reporting
• Keyword Targeting
• Context Targeting
• Geo Targeting
Costco Travel
Costco uses Google Analytics to grow Costco Travel.
When to
Travel
• 365 days of travel
• Length of Stay (1 to 30 days)
• 100 destinations.
• Double
• King
Options
Solution:
• Stratigent (Google Analytics Cert.
Partner)
• Tagging Audit
• Realized not all information
was mined correctly.
More
Options
• Ocean View
• Mountain View
• City View
• Track options to offer tailored
promotions.
Even more
options
• Activities
• Insurance
• Transportation
Since implementing Google
Analytics online travel sales
have increased by over 50%
Google Analytics
• Keyword Driven Searches (AdWord)
• Realize when inventory will be low
• Target clicks to realize when best to
stock certain products in local stores
"Funnel reports in Google Analytics are
crucial to our success. (…)Google
Analytics gives us the insight we need to
quickly see which step in the online sales
process is broken so we can fix it
immediately.“
Real World Results
• Vueling's flight ticket sales increased by 20%
• The American Cancer Society uses Google
Analytics to boost ROI on the web and help treat
patients around the country.
Future of Data Mining
•
Understanding consumer behavior
•
Forecasting product demand
•
Managing and building the brand
•
Tracking performance of customers or products in the market
•
Driving incremental revenue
from transforming data into
information and information
into knowledge
"Data mining is dead! Long live predictive analytics!"
Sources
•
http://www.data-mining-software.com/data_mining_history.htm
•
http://www.impact-sol.com/datamining.html
•
http://www.stratigent.com/
•
http://www.google.com/analytics/
•
http://www.google.com/analytics/case_study_costco.html
•
http://www.phorm.com/
•
http://www.dwreview.com/Data_mining/Future_data_mining.html