Topic > Customer Data Mining - 802

A 2011 study conducted by Digital Universe Corporation showed that 1.8 zettabytes of data were produced by all companies in 2011 alone. This equates to 1.8 trillion gigabytes, the equivalent of each American citizen writing 3 tweets per minute for the next 26,976 years. The study also predicts that the overall amount of data produced each year will increase by an extreme 5000% by 2020. However, what's the point of this mass data collection if we can't even draw useful inferences from it? ? Thanks to customer data mining, everything has changed. To better understand this developing sector, we will explore what exactly customer data mining is and how it works, ending with how companies use this technology. According to Queens University Belfast, customer data mining is the practice of searching through massive amounts of customer data to find patterns that can better increase revenue and reduce business costs. Customer data mining allows companies to better organize and access data from customer interactions to find insights into customer usage patterns. Customer data mining has vast potential, but the inner workings of this business practice are quite complex. According to Jason Frand, professor of management computing and information systems at UCLA, customer data mining is a very complicated process that requires experts with a high level of understanding. There are several types of analytics software available for customer data mining, the two main software are statistical software and machine learning software, which allows the computer to "learn" from the data. This software looks for four main relationships. The first relationship looked for are the classes which are information stored in the predeter...... middle of paper ...... in its newly launched website, flooding them with sporadic emails, which received about a Rate of 20% email openness. Using customer data mining software, Sway's email marketing campaign increased online revenue by 300%, 40% of recipients started opening emails, and the number of clicks tripled. Customer data mining as a whole is making several businesses efficient by enabling them to gain insights into customer trends. We have now explored what customer data mining is, how it works and how companies are able to use this technology. Customer data mining has become a core practice for businesses, large and small. This dynamic tool has the power to impact us every day, simplifying the consumer experience and helping companies better gauge what customers want. All in all, customer data mining is the key to understanding our data-filled world.