Definition of predictive analytics

Predictive analytics is the use of statistical algorithms and machine learning techniques to analyze current and historical data to make predictions about future events.

Explanation of predictive analytics

It involves identifying patterns, trends, and relationships in data to forecast outcomes and inform decision-making processes.

Example of predictive analytics

An e-commerce platform using predictive analytics to forecast future sales based on historical purchasing patterns and customer behaviour.

Strategies of predictive analytics

• Gather and clean relevant data
• Implement advanced analytics tools
• Continuously refine models based on new data

Related terms

• Machine learning
• Data mining
• Regression analysis
• Forecasting