According to information from Forrester Research Analysts, prescriptive analytics for B2B/B2C companies is overtaking predictive analytics.
Data revealed at Forrester’s Virtual Data & Insights Forum, October 13–15, 2020, 93% of firms are operating WITHOUT insights-driven practices. The same research claimed that just 49% of all business decisions are being made based on quantitative information.
This presents a problem for a variety of reasons.
How can your firm overcome bad decision-making?
Predictive analytics provides you with raw data so you can build your own plans and actions, while prescriptive analytics does all of the work for you and provides actionable options.
Shifting through the vast quantities of data you have with human analysis is not practical or possible within a reasonable timeframe. But marketing decisions must be informed quickly to enable you to take corrective actions when needed. Prescriptive Analytics gives consistent recommendations on what to do next. Your decision making is validated, not replaced when using prescriptive tools.
How Prescriptive Analytics Works
These are the three core capabilities of Prescriptive Analytics, which incorporate machine learning to suggest actions:
- Anomaly Detection: identify deviations in performance from average baseline metrics
- Accessing Hidden Demand: uncovering revenue opportunities
- Clustering: aggregating similar customers, employees, or stores
No marketing professional can afford to be without tools that help validate the decisions they make.
Consider having a 30-minute consultation to see how Group FiO Prescriptive tools can help you make the right moves, no matter what is happening in the world.