Data mining is a process whereby the data is extracted based on the certain requisite parameters from the database. Data mining is an automated process, using statistical analysis, modeling technique and database technology, data mining is accomplished. Data mining, locate the patterns and relations in data and give us the outcome we desired.
For example:
If your are running an online store and getting lot of fraud orders from the various, using the pattern relationship and database of the customers, you can either block the IP address of the fraud customers or not to take the orders at all. Hence, hereby data mining helps you to prevent the loss to your online stores using the past IP addresses, credit cards numbers, location etc…. in the database and alert you when the above criteria of the user is match when He/She tries to make some future orders.
In the same way, the online store can keep the check on their regular customers and their preferences, keeping the track from their previous Orders.
To accomplish the Data Mining, accuracy is a major important issue in evaluate the accomplishment of data mining. When applied to data, accuracy refers to the rate of correct values in the data.
Referring to the above example, if your statistic and algorithm is having flaws, you may even lose your business. You don't want to highlight or give preference to products which customer is not interested into, whereby you may lose your order.
