The motors of value generation.

Predictive and prescriptive models

The heart of the Decision Cycle is the prediction model that powers it. Presage’s principal function and competitive advantage is its ability to create multiple prediction models quickly and efficiently that learn from new data. Each prediction model is designed to answer one particular business question –  Who will buy my product? Where can I find good prospects? When will the demand for a product increase? What products can I offer as an up-sell/cross-sell?

The correct answers to these questions if correctly incorporated into an organisation’s workflows will generate decisions and actions that will lead to increased ROI. However, what actions should be taken? The answer to this involves a different, complementary set of prediction models – prescriptive models – that can answer questions such as – Who should I target in my marketing campaign? Which channels should I use to disseminate the marketing campaign? When should I launch the marketing campaign? What content should we use in the marketing campaign?

The combination of these two types of models not only tells us the profiles of those who are most likely to lead to increased ROI, but also what is the most appropriate intervention to capture them. It also determines which interventions are best for favourably changing the probability for someone to buy my product or service.