MIS2502: Data Analytics The Things You Can Do With Data Aaron Zhi Cheng http://community.mis.temple.edu/zcheng/ acheng@temple.edu Acknowledgement: David Schuff

What comes to your mind when you think of Data Analytics? Ask students a question: what is “data analytics”, what is “business intelligence”, what is that, what is your understanding? Data -> information that people act upon Social Genome project Increase effectiveness of advertising on social networks Predict what people want to buy, based on their conversations with friends Own search engine Polaris use sophisticated semantic analysis to work out what a customer wants

Definition from Wikipedia “Analytics is the discovery and communication of meaningful patterns in data.”

Definition from WhatIs.com “Data analytics (DA) is the science of examining raw data with the purpose of drawing conclusions about that information.”

Definition from Techopedia “Data analytics refers to qualitative and quantitative techniques and processes used to enhance productivity and business gain.”

Getting from Data to Decisions It is about asking the right questions and being curious – be a “data detective” But with the right skill set!

It all starts with data Gathering Storing Data Interpreting Retrieving Almost every business action requires at least one of these! Example: Rite aid, Macy’s Plenti

Data versus information Discrete, unorganized, raw facts Information The transformation of those facts into meaning We frequently hear the words Data and Information used as if they are the same thing. Data is raw, unorganized facts that need to be processed. Data can be something simple and seemingly random and useless until it is organized. For example, When data is processed, organized, structured or presented in a given context so as to make it useful, it is called information.

? Examples of Data Data Quantity sold Course enrollment Star rating Customer name Discount Information ? Questions to students: what information can we get from “Quantity sold”?

So then how do you turn data into information?

Example: Starbucks Have you ever wondered how Starbucks can open three branches on the same street and not have their business suffer? https://www.icas.com/ca-today-news/10-companies-using-big-data

Example: Starbucks The coffee shop uses big data to determine the potential success of each new location, taking information on location, traffic, area demographic and customer behavior into account. https://www.icas.com/ca-today-news/10-companies-using-big-data

Example: Netflix Predict viewing habits Find the next smash-hit series. e.g. House of Cards, Orange is the New Black Personalize promotions Account for 1/3 of peak-time internet traffic in the US. “The foundation of the streaming business was analytics.” –Dave Hastings Jonathan Friedland, Chief Communications Officer, says “Because we have a direct relationship with consumers, we know what people like to watch and that helps us understand how big the interest is going to be for a given show. It gave us some confidence that we could find an audience for a show like House of Cards.” Video http://knowledge.wharton.upenn.edu/article/how-data-analytics-is-shaping-what-you-watch/ https://www.linkedin.com/pulse/amazing-ways-netflix-uses-big-data-drive-success-bernard-marr https://blog.kissmetrics.com/how-netflix-uses-analytics/

Q: Your Own Example? Social Genome project Own search engine Polaris Increase effectiveness of advertising on social networks Predict what people want to buy, based on their conversations with friends Own search engine Polaris use sophisticated semantic analysis to work out what a customer wants

Proceed with Cautions! Data is a complement to “intuition” or past experience – Not a substitute “Analytics cannot replace execution. If you can’t deliver a good experience, analytics are irrelevant.” –Bill Franks, Chief Analytics Officer at Teradata