Predictive analytics software mines and analyzes historical data patterns to predict future outcomes by extracting information from data sets to determine patterns and trends. Using a range of statistical analysis and algorithms, analysts use predictive analytics products to build decision models, which business managers can use to plan for the best possible outcome. Analysts, business users, data scientists, and developers all use predictive analytics software to better understand customers, products, and partners and to identify potential risks and opportunities for a company.
Predictive analytics programs enable organizations to use big data (both stored and real-time) to move from a historical view to a forward-looking perspective of the customer. These tools can be deployed both on premise (usually for enterprise users) and in the cloud. While the majority of predictive analytics software is proprietary, versions that are based on open-source technology do exist. Recent trends in predictive analytics software show its integration with business intelligence platforms, ERP systems, or other digital analytics software.
To qualify for inclusion in the Predictive Analytics category, a product must:
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