Solving Business Problems with Data Mining
Introduction
Information is an essential resource for any organization. Managements would formulate strategic plans and make decisions concerning the behaviours of the internal and external environment from the massive amounts of data that exists in their data centres and collection systems. The data about the market would enlighten the managements about the preferences of the customers and the various developments they would require the producers to provide. The organization would, therefore, determine the various ways and the relevant infrastructure they would develop to ensure that they meet the standards of the market. Sales and Marketing is an essential sector in business that ensures that the company gains as many returns as possible from their customers. It is therefore vital to study the market through analysis of data and data mining frameworks.
Background
The film industry needs close identification of the items that attract the viewers. This attribute makes Disney company to develop its structures and ensure that it retains many customers and obtains more from the vast number of viewers in the world. Disney is a global entertainment company that provides various services like family-oriented films and theme parks. It is an American corporation that has its headquarters in Burbank, California. It produces and delivers animated films.
It has made films such as the little mermaid, beauty and the beast, Aladdin, and the lion king. It advanced to produce live-action features. It has also purchased a large portion of the 21st-century fox. Disney combines big data analytics and data mining systems to discover essential features in the environment that help them in predicting the behaviour and the response of the viewers to the products they deliver. The analysis of data enables the company to gain valuable insights into customer reactions to specific services. The following chart illustrates the company’s service delivery outputs for various products.
Challenges
Disney company faces a significant challenge because of the competition from other film companies. It is getting difficult for Disney firm to retain its customers and obtain other new customers from the market because of the rapid growth of the industry. For instance, Netflix has developed to become the most effective video and film provider with remarkable customer retention ability. This impact shows the need for Disney cooperation in developing platforms to identify the items that the viewers need and delivering them in the most quality and effective manner possible. The following graph is an indication of the items that they would develop to catch up with the developments of Netflix.
Amazon company also reports better earnings from filming than Disney cooperation. Even at the increasing piracy issues, the organization needs to identify the ways that they would develop their systems to impress more customers and shift customers from the competitors. This process involves a robust data-mining program that ensures that the organization analyzes the extensive contents of data. The company would obtain information from all the possible areas that indicate the market’s preferences.
Solution
Disney cooperation needs to use the value of data to enable them to identify the various features in the environment that would shape their decisions. They would make more informed decisions on the professional they would need to hire, the infrastructure to set up, and the items they would deliver to the markets. It is crucial to develop data collection platforms in the diverse areas that the organization interacts with the market. Data may be pulled from various locations such as a data mart or directly from the source system (Apps & Ono, 2017). The areas include the search sites, the videos’ watching characters, and the feedback systems. These items enable them to determine what the viewers want.
They would evaluate the items that the users are searching most and develop graphs and visualization models to illustrate the various patterns of the viewers’ character. They would determine the search history with other attributes such as the time of the day that they want a given item or the number of searches on a given item. The Web, social media, mobile activity, sensors, Internet commerce, and many other modern applications provide many enormous datasets (Leskovec, Rajaraman & Ullman, 2020). The most preferred item would ensure that they provide the required items at a particular time. They would also monitor the watching behaviour of the users for a given item, the length of a given film that a viewer watched before pausing and whether they proceeded watching the animation. This effect would enable them to understand the positions in a film that are interesting and the items that need omission from the watching schedules.
Data mining is an essential system for deriving the trends, correlations, and patterns of a phenomenon (Dua & Du, 2016). Disney cooperation would use the system to identify the most sought films and the appreciation of the viewers to a given product. They would identify the relationship between the number of people who watch a given film at a given time and the ones who watch other movies. They would also assess the various reasons that would make them lose customers through the identification of the viewing history of people who used to watch a given program. Data mining would require sophisticated and effective analytics that are powerful enough to process the vast amounts of information needed to guide the organization in decision making on the production and delivery of various services.
Conclusion
Data mining would solve critical marketing and service delivery problems. Data mining has also been quick to adopt ideas from other areas, including optimization, evolutionary computing, information theory, signal processing, visualization, and information retrieval (Tan, Steinbach & Kumar, 2016). Information about the buying and acquisition characteristics of the market enables an organization to determine the most reliable frameworks to develop to ensure that majority of the customers access and buy the given item. Knowledge extraction techniques help organizations to discover essential features in the external and internal environment. Data mining is an essential knowledge extraction method that would guide organizations and management teams in uncovering crucial attributes in data. Industries such as Netflix have well-structured data analysis frameworks that facilitate the substantial profits they gain from the markets.
References
Tan, P. N., Steinbach, M., & Kumar, V. (2016). Introduction to data mining. Pearson Education, India.
Leskovec, J., Rajaraman, A., & Ullman, J. D. (2020). Mining of massive data sets. Cambridge university press.
Dua, S., & Du, X. (2016). Data mining and machine learning in cybersecurity. CRC press.
Apps, E., & Ono, K. (2017). U.S. Patent No. 9,798,781. Washington, DC: U.S. Patent and Trademark Office.