What is Data warehouse?
A data warehouse is a technique for collecting and managing data from varied sources to provide meaningful business insights. It is a blend of technologies and components which allows the strategic use of data. Data Warehouse is electronic storage of a large amount of information by a business which is designed for query and analysis instead of transaction processing. It is a process of transforming data into information and making it available to users for analysis.
What Is Data Mining?
Data mining is looking for hidden, valid, and potentially useful patterns in huge data sets. Data Mining is all about discovering unsuspected/ previously unknown relationships amongst the data. It is a multi-disciplinary skill that uses machine learning, statistics, AI and database technology. The insights extracted via Data mining can be used for marketing, fraud detection, and scientific discovery, etc.
Difference between Data Mining and Data Warehouse
Here are the main difference between Data Mining and Data Warehouse
Why use Data Warehouse?
Some most Important reasons for using Data warehouse are:
Integrates many sources of data and helps to decrease stress on a production system. Optimized Data for reading access and consecutive disk scans. Data Warehouse helps to protect Data from the source system upgrades. Allows users to perform master Data Management. Improve data quality in source systems.
Why use Data mining?
Some most important reasons for using Data mining are:
Establish relevance and relationships amongst data. Use this information to generate profitable insights Business can mak informed decisions quickly Helps to find out unusual shopping patterns in grocery stores. Optimize website business by providing customize offers to each visitor. Helps to measure customer’s response rates in business marketing. Creating and maintaining new customer groups for marketing purposes. Predict customer defections, like which customers are more likely to switch to another supplier in the nearest future. Differentiate between profitable and unprofitable customers. Identify all kind of suspicious behavior, as part of a fraud detection process.
