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Four main Analytics Categories

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Data is data. Anyone can collect data, look at it and sort it into different categories. But that isn’t the real essence of analytics – which is there to take data, make sense of it and help move you towards achieving goals, identifying new opportunities, predicting trends and where you need to place yourself or company.

Business Intelligence or BI reporting: 

This is understanding what is going on now – the more real-time the better. This is what most conventional analytics is about – what is the response rate for a specific campaign. When is the best time to send emails with greatest effect etc

Descriptive Analytics:

The most common words related to this type of analytics is profiling, segmentation or clustering. So if you are using these words then the chances are you are required to do descriptive analysis. For example how have you segmented your customers, where are they and what do they look like. Who are the high value customers and what is their buying behaviour like.

Predictive Analytics:

This is about the future. This is the most demanding type of analytics because it requires specifically designed databases set up with custom variables in order to understand the likelihood of customers behaving a certain way in the future.


This is about asking ‘what if’. It is about answering questions such as ‘What is the most optimal market spend to yield the maximum results.


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