This week you learned about the four types of Data Analytics
- Descriptive – answers the question “what happened?”
- Diagnostic – answers the question “why did this happen?”
- Predictive – answers the question “what might happen?”
- Prescriptive – answers the question “what is the best that could happen?”
Research any area that interests you and identify real examples for TWO of the four data analytics in practice.
Each example must reflect an actual use of the analytic in practice, and should answer the question associated to the analytic type (e.g. your “Descriptive” example should answer the question “what happened?”)
Please include the following for full credit:
- A detailed description of each analytic example in your own words.
- Analyze each example. Identify the important data elements that are used in the analytic(s). If available, call out how the data was analyzed to gain the insight.
- Write min. one page for each analytical type you choose (total 2 pages, single spaced, Times New Roman 12 pt)
- Citation information, i.e. where did you find this example. Use The American Psychological Association Citation Format.
- You may consult any source, e.g. current news, research papers, press releases, etc.
You learned why analytics and insights are useful for a business. You also learned about the four types of analytics that a business can apply to the data of a problem. Use this knowledge to answer the below analytical prompt. Make sure you have read module material (The Four Types of Analytics) before completing this question.
Congratulations! You were just hired at Sephora to analyze sales data. Just in time for Valentine’s Day! You have access to what products were purchased, when they were purchased, and who purchased them. Your first task is to look over the data from the last four months (November – February). As you look through the data, you notice a giant increase in sales and then a giant drop in sales within those months. Your boss wants you to identify patterns and trends to figure out what happened.
After you read the case study above, describe and elaborate on how Sephora could use either descriptive, diagnostic, predictive, or prescriptive analytics to understand the increase and decrease in sales over the four-month period.