What is Bayesian Belief? A Dummies Guide
April 16, 2021
At Acuant, we use various advanced analytics techniques to derive meaningful insights from unstructured data.
Bayesian Belief Networks are one of techniques we use in our models and here, we will explore just what they are.
Bayesian Belief Networks are networks of connected variables that generate predictions based on assumptions. These are generally used when there is a lack of data available and are ideal for taking an event that occurred and predicting the likelihood that any one of several possible known causes was the contributing factor.
For example; let’s say we are determining the likelihood of a person owning a Michael Kors handbag and the average UK person has a 20% likelihood of owning one. If we know some additional pieces of information, we can update our model based on this. We can then use this to determine the specific probability of owning a Michael Kors handbag using the information we currently know.
The average person has a 20% chance of owning a Michael Kors handbag.
- Owns a dog
- Is male
- Has a semi-detached house
- Owns a Michael Kors watch
- Is aged 20-25
- Is female
- Is aged 40-45
- Shops in Prada
- Wears Chanel perfume
The likelihood that these users own a Michael Kors handbag is different for each individual based on the variables that are known because the statistical links are measured between these types of variables.
With Bayesian modelling, we can update the likelihood that a user owns a handbag despite the sparse details available.
With the known information, the model uses this to predict the likelihood of owning a Michael Kors handbag vs. not owning one, despite the fact there are certain elements about the user we do not know.
How We Can Help
Bayesian Belief Networks are part of the various advanced analytics techniques we use in our software solutions to derive meaningful insights to consumers. Our solutions help businesses to personalise marketing to boost ROI using all available data points from a customer’s digital footprint.
With use of our product suite and single, universal API, you can verify and onboard up to 68% more customers than with traditional identity verification methods.
Acuant’s one simple, global solution, Sodium enables customer verification in real-time. Utilise a single element or multiple processes – it’s entirely up to you. Learn more about how we can help to automate and simplify your verification processes to help you gain a better understanding of your customers.
Book a demo today and see for yourself how powerful our suite of solutions are.