Month: September 2013
Data mining is not just for middle or large size business, it is also a way to enhance the performance of small business! Small-sized business owners may complain that collecting data and manage the database system would be costly. However, data mining is not just meant to hire professional or buy expensive software to do so. As all businesses have to record their daily base such as inventory, sales, owners could be able to deeply excavate much useful information in order to improve their business performance.
Usually, a small business analyzes its data to see how the sales go and keep the inventory at certain level. Therefore, after certain time of collecting and reviewing these data, your small company already has a large size of data but you might not be aware of it. These data would easily help you understand your customers better and you could be able to predict product trends. Some experts recommend that small business‘s initial data mining should focus on two aspects: operations and marketing. It is clearly, that many small businesses focus on the operations and forget about the market because the operations really link to the money! From the point of view of a market, these data are very useful to analyze because owners can picture customers behaviors and be able to attract the customers by meeting customers’ needs.
Amazon.com builds a fanatics example of data mining because every time I log on my amazon account, amazon will automatically display a lot of items that I might be interested. Clearly, I will not buy all of these items but as amazon.com analyze my purchasing behavior and the items displaying are more accurate to catch my interest, then I would make my purchase on amazon soon. However, small business could not spend such amount of money into data mining, but still keep their accruate and simply anaylize the customers behaviour and trends of products would bring more long-term benefits to them.