5 Text Analytics Techniques You're Probably Not Using But Should

5 Text Analytics Techniques You're Probably Not Using (But Should)

Text analytics is a game-changer for businesses looking to extract valuable insights from the vast amounts of unstructured data they collect.

But are you making the most of this powerful technology?

In this blog post, we'll explore 5 advanced text analytics techniques that can take your business to the next level. From uncovering hidden patterns with text mining to automatically categorizing documents with natural language processing, these techniques will help you gain a deeper understanding of your customers, streamline your operations, and make data-driven decisions.

So, if you're ready to go beyond the basics and unlock the full potential of text analytics, keep reading.

What Is Text Analytics?

Text analytics extracts valuable insights from unstructured text data by using natural language processing (NLP) and machine learning techniques to identify patterns, sentiments, and key characteristics within large volumes of text. The goal is to transform raw, unstructured data into structured, actionable insights that can support data-driven decision making.

Example of Text Analytics

Text analytics can be applied to a wide range of use cases. For instance, businesses can analyze customer reviews to identify common complaints and gauge overall sentiment. This information can then be used to improve products, services, and customer experience. Additionally, analyzing customer support tickets can uncover valuable insights, helping businesses identify patterns in customer issues and feedback, which can be instrumental in enhancing product features or service quality.

In the healthcare industry, text analytics can be used to extract key information from medical records, such as patient symptoms, diagnoses, and treatments. This can support medical research, clinical decision making, and population health management.

Moreover, analyzing customer surveys, especially open-ended responses, allows companies to extract patterns and insights. This analysis can be particularly useful in understanding customer satisfaction through NPS responses, feedback, and support interactions across various channels like email, chat, and social media, thereby enabling more data-driven decisions to improve customer engagement and service delivery.

Other examples of text analytics applications include:

  • Social media monitoring to track brand perception and customer engagement

  • Email filtering to detect spam and prioritize important messages

  • Contract analysis to identify risks and opportunities in legal documents

Is Text Analytics the Same as NLP?

While text analytics and NLP are closely related, they are not exactly the same. NLP is a subfield of artificial intelligence that focuses on enabling computers to understand, interpret, and generate human language. It involves tasks such as part-of-speech tagging, named entity recognition, and sentiment analysis. Text analytics, on the other hand, is a broader field that encompasses NLP techniques along with other methods for extracting insights from text data. This can include statistical analysis, data visualization, and machine learning algorithms.

In other words, NLP is a key component of text analytics, but text analytics goes beyond just NLP to provide a more comprehensive approach to deriving value from unstructured text data.

The Need for Text Analytics

In today’s digital age, the volume of unstructured text data is growing exponentially.

This includes emails, social media posts, customer reviews, and more. Additionally, analyzing external data from sources like social media, online reviews, and forums is crucial for businesses who want to uncover comprehensive insights. According to some estimates, unstructured data accounts for up to 90 percent of all enterprise data. Without text analytics, this valuable data, including external data collected through web scraping tools, APIs, and open datasets, would remain largely untapped. By applying text analytics techniques, organizations can gain a deeper understanding of their customers, operations, and market trends. This can lead to better decision making, improved efficiency, and competitive advantage.

5 Powerful Text Analytics Techniques to Boost Your Business

Text analytics techniques, including advanced deep learning algorithms and machine learning based systems, can help businesses gain valuable insights from unstructured text data. By leveraging these techniques, you can:

  • Uncover hidden patterns and relationships in large text corpora

  • Gauge customer sentiment and opinions from feedback and reviews, with deep learning algorithms providing semantically rich representations for more accurate sentiment analysis

  • Automate document categorization and streamline information retrieval, enhancing text analysis and classification through machine learning based systems

text analytics text mining

1. Text Mining: Uncovering Hidden Insights

Text mining involves extracting valuable information and patterns from unstructured text data. It allows businesses to identify trends, relationships, and key themes in large data sets.

Here are two key ways you can leverage text mining to uncover hidden insights:

Extract Insights from Unstructured Data

Unstructured data, such as customer reviews, social media posts, and email conversations, often contain valuable insights that can inform business decisions. Text mining techniques enable the extraction of these insights by analyzing the content and context of the text.

One common approach is to use natural language processing (NLP) algorithms to preprocess the text data. This involves tasks like tokenization (breaking text into individual words or phrases), removing stop words (common words like "the" or "and"), and stemming or lemmatization (reducing words to their base or dictionary form). By cleaning and normalizing the text data, businesses can prepare it for further analysis.

Identifying Trends and Relationships

Once the text data is preprocessed, various techniques can be applied to identify trends and relationships. Some popular methods include:

  • Frequency analysis: Counting the occurrence of specific words or phrases to determine their relative importance or popularity.

  • Co-occurrence analysis: Examining the frequency with which certain words or phrases appear together, indicating potential relationships or associations.

  • Collocation analysis: Identifying words that commonly occur in close proximity to each other, suggesting strong associations or idiomatic expressions.

By applying these techniques, businesses can uncover hidden patterns and gain insights into customer preferences, market trends, and emerging topics of interest.

sentiment analysis

2. Sentiment Analysis: Gauging Emotions and Opinions

Sentiment analysis involves determining the overall sentiment (positive, negative, or neutral) expressed in a piece of text. This technique is particularly useful for analyzing customer feedback, social media posts, and product reviews.

Understanding Customer Sentiment

Sentiment analysis enables businesses to gauge the emotions and opinions of their customers. By analyzing the sentiment expressed in customer feedback, businesses can identify areas of satisfaction or dissatisfaction, as well as potential issues or concerns.

There are various approaches to sentiment analysis, ranging from rule-based methods to machine learning algorithms. Rule-based methods rely on predefined sentiment lexicons or dictionaries that assign sentiment scores to words or phrases. Machine learning algorithms, on the other hand, learn from labeled training data to classify sentiment based on patterns and features in the text.

Applications of Sentiment Analysis

Sentiment analysis has numerous applications across different industries. Some common use cases include:

  • Brand monitoring: Tracking sentiment towards a brand, product, or service across social media platforms and online reviews.

  • Customer service: Identifying and prioritizing negative sentiment to address customer complaints and improve satisfaction.

  • Market research: Analyzing sentiment towards competitors or industry trends to gain a competitive advantage.

By leveraging sentiment analysis, businesses can proactively address customer concerns, improve product offerings, and make data-driven decisions based on customer sentiment.

Named entity recognition

3. Named Entity Recognition (NER): Identifying Key Elements

Named Entity Recognition (NER) is a text analytics technique that automatically detects and classifies named entities, such as people, organizations, and locations, in unstructured text data. NER helps extract structured information from unstructured text, enabling businesses to identify key elements and gain valuable insights.

Extracting Named Entities

NER algorithms use a combination of linguistic rules, statistical models, and machine learning techniques to identify and classify named entities in text. These algorithms are trained on large annotated datasets, where named entities are manually labeled and categorized.

Common named entity types include:

  • Person names: Identifying individuals mentioned in the text, such as customers, employees, or public figures.

  • Organization names: Recognizing companies, institutions, or other organizational entities.

  • Location names: Detecting geographic locations, such as cities, countries, or landmarks.

  • Date and time expressions: Extracting temporal information, including specific dates, times, or durations.

By automatically extracting named entities, businesses can structure and organize unstructured text data, making it easier to analyze and derive insights.

Applications of Named Entity Recognition

NER has various applications across different domains, including:

  • Customer relationship management (CRM): Identifying customer names and details from email conversations or support tickets to enhance personalization and improve customer service.

  • Information retrieval: Indexing and searching for specific entities within large document collections or knowledge bases.

  • Content recommendation: Personalizing content recommendations based on the entities mentioned in user-generated content or user profiles.

NER enables businesses to extract valuable structured information from unstructured text data, facilitating more efficient analysis and decision-making.

Topic modelling text analytics technique

4. Topic Modeling: Discovering Latent Themes

Topic modelling is a text analytics technique that identifies the main topics and themes in a collection of documents. It helps businesses categorize and organize large volumes of text data based on content similarity.

Uncovering Latent Topics

Topic modelling algorithms, such as Latent Dirichlet Allocation (LDA) or Non-negative Matrix Factorization (NMF), automatically discover latent topics in a document corpus. These algorithms treat each document as a mixture of topics and assign a probability distribution over topics to each document.

The process of topic modelling typically involves the following steps:

  1. Preprocessing: Cleaning and normalizing the text data, including tokenization, removing stop words, and stemming or lemmatization.

  2. Feature extraction: Converting the preprocessed text into a numerical representation, such as a document-term matrix or a term frequency-inverse document frequency (TF-IDF) matrix.

  3. Topic modeling: Applying the chosen topic modeling algorithm to the feature matrix to discover latent topics and their associated word distributions.

  4. Interpretation: Analyzing the discovered topics and their associated words to understand the underlying themes and concepts in the document corpus.

By uncovering latent topics, businesses can gain a high-level understanding of the content and themes present in large text corpora without manually reading and categorizing each document.

Applications of Topic Modeling

Topic modeling has various applications in business, including:

  • Content analysis: Identifying the main topics and themes in customer feedback, product reviews, or social media discussions to understand customer preferences and sentiments.

  • Document organization: Automatically categorizing and organizing large collections of documents based on their content similarity, facilitating efficient information retrieval and knowledge management.

  • Trend analysis: Tracking the evolution of topics over time to identify emerging trends, shifts in customer interests, or changes in market dynamics.

Topic modelling enables businesses to extract meaningful insights from large volumes of unstructured text data, leading to improved decision-making and content strategy.

5. Text Classification: Automating Document Categorization

Text classification is a text analytics technique that automatically assigns predefined categories or labels to text documents. It streamlines document organization and information retrieval by automatically categorizing documents based on their content.

Supervised Learning for Text Classification

Text classification typically relies on supervised learning algorithms, where a model is trained on a labeled dataset consisting of documents and their corresponding categories. The algorithm learns the patterns and features associated with each category and uses this knowledge to classify new, unseen documents.

Common supervised learning algorithms used for text classification include:

  • Naive Bayes: A probabilistic algorithm that assumes the features (words) in a document are independent of each other given the class label.

  • Support Vector Machines (SVM): An algorithm that finds the optimal hyperplane separating different classes in a high-dimensional feature space.

  • Logistic Regression: A statistical model that estimates the probability of a document belonging to a particular class based on its features.

By training a text classification model on a labeled dataset, businesses can automate the process of categorizing new documents, saving time and effort compared to manual categorization.

Applications of Text Classification

Text classification has numerous applications across various domains, including:

  • Email categorization: Automatically sorting incoming emails into predefined categories, such as spam, promotions, or important communications.

  • Document tagging: Assigning relevant tags or labels to documents based on their content, facilitating efficient search and retrieval.

  • Sentiment analysis: Classifying text documents as positive, negative, or neutral based on the sentiment expressed in the content.

Text classification enables businesses to automate document categorization, improve information organization, and enhance the efficiency of various business processes.

text analytics techniques

Benefits of Text Analytics for Businesses

Text analytics empowers businesses to gain a profound understanding of their customers’ needs, preferences, and pain points. By analyzing customer feedback from various sources such as reviews, surveys, and social media, companies can uncover valuable insights that may not be apparent through traditional methods. A critical step in this process involves data gathering from both internal and external sources, utilizing methods like web scraping tools, integrating with third-party solutions, and employing data visualization tools to analyze and understand the collected data. This foundational activity ensures a comprehensive dataset for analysis, enhancing the accuracy and relevance of insights derived through text analytics.

Here are five ways that text analytics can benefit your business:

  • Improved customer insights

  • Enhanced decision making

  • Increased operational efficiency

  • Enhanced risk management

  • Improved product development

text analytics benefits

Improved Customer Insights

Personalizing Customer Interactions

Armed with these insights, businesses can tailor their interactions to individual customers, addressing their specific concerns and desires. This level of personalization leads to enhanced customer satisfaction and loyalty. A study by Epsilon found that 80% of consumers are more likely to make a purchase when brands offer personalized experiences.

Identifying Customer Sentiment

Text analytics also enables businesses to gauge customer sentiment, whether positive, negative, or neutral. By monitoring sentiment trends over time, companies can quickly identify and address issues before they escalate, as well as capitalize on positive sentiment to amplify their brand's strengths.

text analytics improves decision making

Enhanced Decision Making

Text analytics empowers businesses to make data-driven decisions by extracting actionable insights from vast amounts of unstructured text data. By analyzing this data, companies can identify emerging trends, potential opportunities, and hidden risks that may impact their business strategies.

Competitive Intelligence

One key application of text analytics in decision making is competitive intelligence. By analyzing competitor mentions, product reviews, and industry discussions, businesses can gain a deeper understanding of their market position, identify areas for improvement, and stay ahead of the competition.

Predictive Analytics

Text analytics can also be combined with predictive analytics techniques to anticipate future trends and customer behaviour. By analyzing historical text data and identifying patterns, businesses can make proactive decisions to optimize their strategies and mitigate potential risks.

Increased Operational Efficiency

Implementing text analytics can significantly boost operational efficiency by automating manual tasks and enabling faster processing of large volumes of text data. This automation frees up valuable time and resources that can be allocated to more strategic initiatives.

Streamlining Customer Support

One area where text analytics can greatly improve efficiency is customer support. By automatically categorizing and routing customer inquiries based on their content, businesses can ensure that each inquiry is handled by the most appropriate agent, reducing response times and increasing first-contact resolution rates.

Optimizing Business Processes

Text analytics can also be applied to internal business processes, such as analyzing employee feedback or identifying bottlenecks in workflows. By gaining insights from this data, businesses can optimize their processes, improve employee satisfaction, and ultimately drive better business outcomes.

text analytics for risk management

Enhanced Risk Management

Text analytics plays a crucial role in identifying and mitigating potential risks that may impact a business. By analyzing various text sources, such as news articles, social media posts, and regulatory documents, companies can stay informed about emerging risks and take proactive measures to address them.

Early Warning Systems

Implementing text analytics as part of an early warning system can help businesses detect potential crises, such as product defects, supply chain disruptions, or reputational risks, before they escalate. This early detection allows companies to develop effective response strategies and minimize the impact on their operations and brand image.

Improved Product Development

Text analytics can provide valuable insights into customer preferences and expectations, enabling businesses to develop products and services that better align with market demands. By analyzing customer feedback, reviews, and discussions, companies can identify unmet needs, emerging trends, and areas for innovation.

Voice of the Customer

Integrating text analytics into the product development process allows businesses to capture the true voice of the customer. By understanding the language customers use to describe their needs and experiences, companies can develop more customer-centric products and features that address real pain points and deliver greater value.

How does text analytics work

How Does Text Analytics Work?

Text analytics involves preprocessing, feature extraction, model training, and interpretation. Natural Language Processing (NLP) techniques are used to understand and analyze text data. Text analytics can uncover insights, patterns, and relationships in unstructured data.

Text Preprocessing: Cleaning and Preparing Text Data for Analysis

Before any analysis can be performed, text data must be cleaned and preprocessed. This involves several steps, including:


Tokenization is the process of breaking down text into individual words or phrases, known as tokens. This is a crucial step in text analytics, as it allows the system to identify and analyze individual components of the text.

Removing Stop Words

Stop words are common words that do not add much meaning to the text, such as "the," "and," or "a." These words are typically removed during preprocessing to focus the analysis on more meaningful terms.

Stemming and Lemmatization

Stemming and lemmatization are techniques used to reduce words to their base or dictionary form. For example, "running," "runs," and "ran" would all be reduced to the base form "run." This helps to normalize the text and improve the accuracy of the analysis.

For example sake, here's an example Python code snippet that illustrates some common preprocessing steps for text analytics:

text analytics example

With a text analytics tool, here's what each step would perform in the back-end:

  1. Convert to lowercase: Converts the text to lowercase for consistency.

  2. Remove punctuation: Removes all punctuation marks from the text using the string module.

  3. Tokenize into words: Splits the text into individual words (tokens) using NLTK's word_tokenize function.

  4. Remove stopwords: Removes common words like "the", "is", "and", etc., which don't add much meaning to the text. This uses NLTK's list of English stopwords.

  5. Stemming: Reduces words to their base or root form (e.g., "running" becomes "run") using NLTK's PorterStemmer.

The output of this code would be:

text analytics example

Note that this is just one example, and the specific preprocessing steps may vary depending on the text analytics task and the characteristics of the data. The other preprocessing techniques like lemmatization and named entity recognition could also be applied depending on your use case.

Feature Extraction: Converting Text into Numerical Features for Machine Learning

Once the text has been preprocessed, the next step is to convert it into a format that can be used by machine learning algorithms. This is known as feature extraction, and it involves representing the text as numerical features.

One common technique for feature extraction is the bag-of-words model. In this approach, each unique word in the text is treated as a separate feature, and the frequency of each word is used to create a numerical representation of the text.

Another popular technique is word embeddings, which map words to high-dimensional vectors that capture their semantic meaning. This allows the system to understand the relationships between words and can lead to more accurate text analysis.

Here's an example that illustrates the concept of feature extraction:

text analytics example

Model Training and Evaluation: Building and Assessing Text Analytics Models

With the text data converted into numerical features, machine learning models can be trained to perform various text analytics tasks, such as:

  • Sentiment Analysis: Determining the emotional tone or opinion expressed in the text

  • Topic Modeling: Identifying the main topics or themes in a collection of documents

  • Named Entity Recognition: Extracting named entities, such as people, places, or organizations, from the text

  • Text Classification: Assigning predefined categories or labels to text documents

To ensure the accuracy and reliability of these models, they must be carefully evaluated using techniques such as cross-validation and holdout testing. This helps to assess the model's performance and identify areas for improvement.

Interpretation and Visualization: Presenting Insights in an Understandable Format

The final step in the text analytics process is to interpret the results and present the insights in a way that is easy to understand and act upon. This often involves creating visualizations, such as word clouds, topic maps, or sentiment charts, that highlight key patterns and trends in the data.

Effective interpretation and visualization can help businesses quickly grasp the main takeaways from the text analytics process and make data-driven decisions based on the insights gained.

For further reading on text analytics techniques and applications, consider the following resources:

  • "Natural Language Processing with Python" by Steven Bird, Ewan Klein, and Edward Loper

  • "Text Mining with R: A Tidy Approach" by Julia Silge and David Robinson

  • "Applied Text Analysis with Python: Enabling Language-Aware Data Products with Machine Learning" by Benjamin Bengfort, Rebecca Bilbro, and Tony Ojeda

Best text analytics books

By understanding and leveraging these text analytics techniques, businesses can gain a competitive edge by extracting valuable qualitative insights from unstructured data, and make more informed, data-driven decisions.

How To Get Started with Text Analytics?

Define your business objectives and use cases for text analytics

Before diving into text analytics, it's crucial to clearly define your business objectives and use cases. What insights are you hoping to gain from analyzing text data? Are you looking to improve customer sentiment analysis, streamline document classification, or extract key entities from unstructured data? Understanding your specific goals will guide your text analytics strategy and help you select the most appropriate techniques and tools.

Consider the following questions when defining your objectives:

  • What business problems do you want to solve with text analytics?

  • What types of text data are most relevant to your goals?

  • How will text analytics insights be used to drive business value?

Explore and experiment with different text analytics techniques and tools

With your data collected and preprocessed, it's time to explore and experiment with various text analytics techniques and tools. There are numerous approaches to analyzing text data, each with its own strengths and limitations. Some common text analytics techniques include:

  • Sentiment Analysis: Determine the emotional tone or sentiment of the text, such as positive, negative, or neutral.

  • Topic Modeling: Discover the main themes or topics discussed in a collection of documents.

  • Named Entity Recognition (NER): Identify and extract named entities, such as people, organizations, or locations, from the text.

  • Text Classification: Assign predefined categories or labels to text documents based on their content.

  • Keyword Extraction: Identify the most important or frequently occurring words or phrases in a text.

When selecting text analytics tools, consider factors such as ease of use, scalability, integration with existing systems, and support for your specific use cases.

For a comprehensive look at the tools available to help you, check out our article comparing best text analytics software.

Unlocking the Power of Text Analytics with Kapiche

Kapiche offers a user-friendly text analytics platform designed for businesses of all sizes. With a comprehensive suite of text analytics techniques and pre-built models, you can quickly get started and extract valuable insights from your text data.

Seamless Integration and Expert Support

One of the key advantages of Kapiche's platform is its seamless integration with your existing data sources and workflows. This means you can easily incorporate text analytics into your current processes without significant disruption or learning curves.

We also provide expert support and resources to help you succeed with text analytics. Whether you need assistance with setting up the platform, choosing the right techniques for your use case, or interpreting the results, we're ready to guide you every step of the way.

To explore if Kapiche is right for you, watch an on-demand demo of the platform today.

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