Data mining or data mining: what it is, what it works for and what stages it presents

Nowadays, it is common to hear about data mining , although most people do not know exactly what is being referred to. In a globalized world with a great dependence on technology, information has become the greatest asset of companies . Collecting and analyzing large volumes of data provides multiple advantages to any business, improving its decision making, providing greater knowledge of the market and customers, and helping to take advantage of market opportunities and trends.   

Data mining is responsible for exploring large databases in an automated way to find repetitive patterns that help the company take advantage of the information.  

Índice

  1. What is data mining or data mining?
  2. What is it for and what benefits can we obtain?
  3. Stages of data mining

What is data mining or data mining?

 

Data mining or data mining includes a set of actions or techniques designed to extract data with the aim of detecting patterns and behaviors in an automated way, using a series of mathematical algorithms.     

The concept of data mining complements that of Big data , where large volumes of information are collected and organized, allowing analysis to be carried out to convert the information into knowledge .    

What is it for and what benefits can we

Data mining is responsible for analyzing large volumes of information with the aim of extracting knowledge that adds value to a company , such as, for example, extracting data about the customers who consume a service the most and at what time they usually do so.   

The main advantages of data mining for a company are:

  • Discover useful information for the company that was unknown until that moment.

  • It allows you to take advantage of market opportunities and trends.

  • It provides reliable predictions based on the analysis of large amounts of data.

  • Provides information to optimize processes, save costs.

  • Provides greater knowledge of clients to be able to offer them personalized proposals that adapt to their needs.

Stages of data mining 

Data mining is divided into stages that must be followed in order to carry out an efficient analysis of the information.  

  • To establish objectives . The objectives pursued when applying data mining techniques must be defined.

  • Identify the data . Data collection phase to be analyzed.

  • Process the information . It involves working on the data in the database to filter, select, enrich and reduce it, with the aim of extracting knowledge from it.

  • To model . Selection of the algorithms to use to build a model and evaluate the initial results.

  • Perform tests . The model is tested on different data sets to review and verify the results obtained.

  • Verification and obtaining knowledge . The data obtained is checked and useful information is extracted that serves to implement improvement strategies.

We have seen what data mining is and how it helps companies when it comes to obtaining value and knowledge from the large amount of information they handle. Data mining is responsible for analyzing big data with the aim of making predictions and extracting specific information that helps improve business processes and decisions.