Predictive solutions are a necessity for today’s markets. Machine learning, Deep learning, Big Data and Artificial Analysis (AI) are all part of solutions that can predict consumer behavior.
How to predict consumer behavior with Big Data and AI
Over the years, companies have made use of effective marketing strategies such as monitoring social media and other online platforms to reach out to consumers and find out how best to serve them. Now that more than enough data has been collected from these sources, there arises the need to make use of it, for instance, to predict consumer behavior days and even months from now. Anticipating consumer needs is made possible through Big Data and advancements in Artificial Intelligence (AI).
Forecasting consumer behavior is realized through merging Big Data with AI. According to predictions from Forrester, there will be increased adoption of Big Data and AI among 70% of businesses globally; this is a 51% increase than in 2017. Let’s get into how Big Data and AI can predict consumer behavior.
Levels of Predictions
- Emotional and Intent Analysis
It refers to a solution that can identify the emotion behind the experience and the intent behind consumer actions
- Segment Patterns
- Segmenting customers into small groups based on actual behaviors instead of only looking at aggregate data;
- Tacking customer
on how they move among different segments over time including different customer lifecycle context instead of looking just at the actual segment do not considering how they arrived there.
- Future Actions
This enables a company to predict that if a particular experience occurs, the client will act in a certain manner
Decision making is no longer based on guessing or inaccurate surveys and studies conducted on selected groups of people. The progress made in Big Data analytics using AI simplifies companies’ decision making processes in real time. Big Data can be structured, unstructured, or semi-structured, and in these forms, it can be difficult to interpret effectively by the human mind. AI systems use algorithms to break down and make sense of Big Data into actionable insight which contributes to a more mature decision-making process by businesses.
Social media is growing into a significant tool for monitoring customer needs, satisfaction, dissatisfaction, and overall behavior. Big Data and AI better customer experience by predicting what they will want in the near future. Companies can easily enhance a product or service, do away with it, or introduce a new and better one altogether all based on the information gathered from AI analytics. Big Data and AI yield more relevant and creative solutions for consumers before they even know it. They are certainly a must-have for modern businesses today.