Capturing Value with Anomaly Detection - Concord White Paper

Key Business Considerations

Selecting the right anomaly detection approach requires more than just technical evaluation. Organizations must weigh

factors like speed, cost, and tolerance for error to ensure their monitoring strategy aligns with business goals.

Speed of Detection: How quickly do we need to be alerted?

E X AMPLE US E CA S E S

ALERT TIMING

M onitor data pipeline health, validate audience segment counts

Daily

The urgency of detection directly influences the complexity

and cost of your monitoring solution. As the demand for

Track top-line metrics, identify emerging trends

Hour ly

real-time insights increases, so does the need for more

W i th i n 5 m i nutes

Detect system downtime, flag potential fraud

advanced—and often less accessible—tools and infrastructure.

Return on Investment (ROI): What’s the tradeoff between cost, effort, and benefit?

The right anomaly detection strategy can yield substantial

Saves time otherwise spent manually identifying anomalie s

returns by improving efficiency, reducing risk, and enabling

R educes exposure to costly risks like fraud or lost revenu e

faster response times. Efficient monitoring isn’t just about

Enables faster, more informed responses to performance issues

saving time, it’s about protecting revenue and reputation.

Error Tolerance: What’s the cost of missing or misidentifying an anomaly?

ERROR TYPE

POTENTIAL IMPACT

M inor user friction, unnecessary course corrections

F al se Pos i t i ve (Type 1)

Different use cases have different risk profiles. Knowing what

kinds of errors are acceptable—or unacceptable—can guide

F al se Neg a t i ve (Type 2)

P otential data breaches, customer churn, lost revenue, or missed opportunities

the design of your detection approach.

Capturing Value with Anomaly Detection

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