Where would a company use data mining?

Question

eg a supermarket. I need this for my course work but cant think of what to say.

Answer 1

Let's say a supermarket has a rewards card.  They ask for personal information, and then collect all the details about that person's shopping habits.

The data is "mined" to look for patterns.  Say for example you now know that 100 people shop at 2am on a Friday night.  You could use that information to make sure your staffing levels are appropriate, that you have enough stock of milk and bread at that time (assuming that's what those shoppers have typically bought before), etc.

If past behaviour is the best predictor of future behaviour, keeping track of past behaviour and looking for patterns will allow the retailer to customise the shopping experience for its clientele.