5 Types of Data Analytics Defined
Updated: Jan 2, 2020
Data Analytics Defined + Types
It's the science of converting raw data into meaningful information by using different techniques. This information can then be used for making a decision that overall increase the efficiency of any business or system. Some of its major types include
Descriptive analytics: It describes what has happened over a given period. Have the sales increased, or the views went up or have the number of subscribers increased, etc.
Diagnostic analytics, as the name suggests, is like a diagnosis and focuses on why something happened or didn't happen. This requires more diverse data and the process of hypothesizing. Did the weather affect the ice cream sale? Did that latest marketing campaign increase the sale of the product?
Predictive analytics: as the name suggests makes predicaments using the knowledge from the past and tells us what is likely to happen shortly. For example, How sales were effected last summer?
Prescriptive analytics suggests a course of action that we should take to decrease the risk factors or to cope with the changing conditions. Example If a hot summer is likely to be around more than 58% what we can do is, add an evening shift to the brewery.
Data collection for data analytics:
The collection of data for its analysis involves several different steps:
The first step is to find the data requirements. It may be separated by many factors such as age, gender, demographic region, occupation, income, etc
The second step is the process of collecting this data. This can be done using several sources example a computer or online sources, cameras, etc
After the data has been collected, it needs to be organized so it can be easily interpreted and deciphered. This can be done simply using a spreadsheet or any other software that gives data in statistical form.
The last step is to ensure that the data collected is free of repetition and any other sorts of error and that it is complete before it goes to an analyst to be analyzed.
Author: Austin Stanfel