Four steps to achieve data mining in MicroStrategy
Typically, we follow four steps to perform data mining: creating a dataset, selecting variables, developing the model, and deploying the model:
Let us try doing some data mining and predictive analysis following these steps. Let's say we need to prepare a back-to-school marketing campaign by sending out promotional mail. Our resources are limited, so we want to reduce costs by sending only to those that are most likely to respond. We have customers' demographic information and their previous response records from the last campaign.
Creating a dataset
Suppose we have the following demographic information: Age, Education
Level, Gender, and Household
Count. In addition, we have the response records of the last campaign. In our data, the previous campaign shows 1,002 positive responses out of 5,612 customer orders:
Selecting variables
Selecting variables needs both domain expertise (experience) and statistics knowledge. We use our experience...
