PredictHQ Raises $22 million to help Uber and others predict demand with big data
PredictHQ, a company that aggregates data sets from myriad events and public holidays to help companies forecast demand for their services,
How it Work:
The San Francisco-based startup taps myriad sources for data related to concerts, sports, public holidays, and more and then add in proprietary and “hard to find” data. It throws all of this into a big melting pot, channels it into an API, and licenses it to companies like Uber, Domino’s, Qantas, and Booking.com.
Why is this data so useful?
Well, it all comes down to predictive insights — knowing how much demand service is likely to see. During a major music festival or sports event, for example, Uber often employs surge pricing, a mechanism to manage supply (and make more money) when demand is high. But surge pricing often kicks in with little to no warning, as the pricing mechanism simply reacts to a surge in demand. Knowing when to expect a spike in ride requests could help Uber alert drivers to be at a location at a certain time.
PredictHQ is all about helping businesses cut down on losses by adapting their supply and pricing to suit demand.
