With more data being produced than ever before, the need for more effective, efficient processes has grown too. Predictive analytics is one such process. Predictive analytics can help determine how customers will react to marketing messages and make purchasing decisions, as well as optimizing asset performance to improve business efficiency.
Here are predictive analytics can benefit businesses.

1. Improve production efficiency
The benefits of predictive analytics for the production and manufacturing industries are particularly prevalent. Using predictive analytics, companies can effectively forecast for inventory and required production rates, while also using past data to estimate potential production failures. They can then use this to prevent the same errors from occurring.
Predictive analytics is particularly valuable when identifying new revenue-generating opportunities, production optimization, and improving other operational efficiencies. Businesses can use predictive analytics to assess the market for new products, forecasting inventory needs to make production as efficient as possible.

2. Safety and Compliance
Predictive analytics can be used by businesses to identify fraud and used by logistics and utility companies to address safety concerns. The result is a higher level of regulatory compliance and a reduced risk of fraud for businesses.

3. Reduce risk
Dependent on your industry, predictive analytics can be used considerably when it comes to risk reduction. Sectors such as finance and insurance use predictive analytics to help construct a valid depiction of a person or business they’re screening, based on all data available to them. This can then form a more reliable interpretation of that person, business or incident which can be used to make sensible, effective decisions.

4. Better marketing campaigns
Predictive analytics’ bread and butter is sifting through data to provide you with educated predictions on what to expect next. Which is why it can look at consumer data for specific campaigns and tell you what’s working, what isn’t, and what you can do to cross-sell, up-sell and increase your revenue.
Once you understand the need for predictive analytics, you can start evaluating options to find the right solution for your business. Connect with us for more details.