Sentiment analysis sometimes referred to as information extraction, is an approach to natural language recognition which identifies the psychological undertone of a text's contents. Businesses use this common method to determine and categorise customer views about a product, service, or idea. It employs data mining, deep learning (ML or DL), and artificial intelligence to mine text for emotion and subjective data (AI).

What is Sentiment Analysis in AI and ML?

Sentiment analysis is a branch of psychology that use computational approaches to evaluate, analyze, and disclose people's hidden feelings, thoughts, and emotions underlying a text or conversation. It mines, extracts, and categorizes consumers' views about a company, product, person, service, event, or concept using machine learning (ML), natural language processing (NLP), data mining, and artificial intelligence (AI) techniques.

Sentiment analysis enables businesses to obtain insights from massive amounts of unstructured data from internet sources such as social media, emails, chats, blogs, and forums. Unstructured information accounts for around 80-90% of all digital content, according to a 2019 CIO research.

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Sentiment Analysis vs Semantic Analysis

Semantic analysis is the study of linguistic meaning, whereas sentiment analysis is the study of emotional value. 

Sentiment analysis focuses on classifying and dividing an opinionated text into three to four categories, with positive denoting the feeling of happiness, contentment, and gratification; negative denoting the state of rage, sadness, and dissatisfaction; neutral, where the speaker expresses no viewpoint; and conflict, where the speaker expresses opinions in both forms (positive and negative).

On the other hand, semantic analysis concerns the comprehension of data under numerous logical clusters/meanings rather than predefined categories of positive or negative (or neutral or conflict). It consists of deriving relevant interpretations from the provided information.

4 Types of Sentiment Analysis

1. Fine-Grained

This sentiment analysis model might assist you in determining polarity precision. Sentiment analysis can be performed across polarity categories: extremely positive, positive, neutral, negative, or very negative. Fine-grained sentiment analysis is useful for studying reviews and ratings. On a scale of 1 to 5, consider 1 extremely negative and 5 extremely positive. On a scale of 1 to 10, 1-2 is highly negative, while 9-10 is very positive.

2. Aspect-Oriented

Aspect-based analysis dives further than fine-grained analysis in determining the overall polarity of your customer evaluations. It assists you in determining the specific components that individuals are discussing.

3. Emotion Recognition

Emotion detection, as the name implies, assists you in detecting emotions. Anger, sorrow, happiness, frustration, anxiety, concern, panic, and other emotions are examples of this. Emotion detection systems often employ lexicons, which are collections of words that express specific emotions. Some sophisticated classifiers make use of powerful machine learning (ML) methods. Because people communicate their emotions in various ways, ML is preferred over lexicons.

4. Intent Evaluation

Companies may save time, money, and effort by accurately detecting consumer intent. Businesses frequently pursue consumers who do not intend to buy anytime soon. This barrier can be overcome with accurate intent analysis. The intent analysis assists you in determining the consumer's purpose, whether the customer plans to purchase or is simply browsing.

Why is Sentiment Analysis Important?

Sentiment analysis is a useful marketing technique that allows product managers to understand the emotions of their customers in their marketing efforts. It is important for identifying products and brands, customer loyalty, customer satisfaction, the effectiveness of marketing and advertising, and product uptake. Understanding consumer psychology may assist product managers and customer success managers make more precise changes to their product roadmap. The term "emotion-based marketing" refers to emotional consumer responses such as "positive," "neutral," "negative," "disgust," "frustration," "uptight," and others. Understanding the psychology of customer responses may also help you improve product and brand recall.

Sentiment Analysis Use Cases

The most typical applications of sentiment analysis are in social media, customer service, and market research. Sentiment analysis is commonly used in social media to analyze how people perceive and discuss a business or product. It also enables organizations to discover how different parts of society perceive certain issues, ranging from current themes to news events. Companies can immediately respond to public mood using this information. 

Furthermore, social media has become an important platform for business promotion and customer feedback, such as product review videos. As a result, organizations may track indicators like brand mentions and the feelings connected with each mention. Finally, customer service has emerged as an important area for sentiment research. Businesses may assess how they perform regarding customer service and satisfaction by using phone call records or chat logs. They may guarantee personnel follow good customer service etiquette and enhance customer-client interactions using real-time data.

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Sentiment Analysis Examples

Sentiment analysis is a versatile method that may be applied across sectors and teams. The following are some of the most common sentiment analysis business applications:

  • Monitoring of social media
  • Brand tracking
  • Customer service evaluation
  • Analysis of customer feedback
  • Market investigation

How Does Sentiment Analysis Work?

Natural language processing (NLP) and machine learning (ML) techniques underpin sentiment analysis. These AI bots are educated on millions of bits of text to determine if a message is good, negative, or neutral. Sentiment analysis segments a message into subject pieces and assigns a sentiment score.

Sentiment Analysis Challenges



Tone may be difficult to discern vocally and even more difficult to figure out in writing. When attempting to examine a vast volume of data containing subjective and objective replies, things become considerably more challenging. Finding subjective thoughts and correctly assessing them for their intended tone may be tough for brands.


The capacity to distinguish subjective statements from objective statements and then identify the appropriate tone is at the heart of any excellent sentiment analysis program. "The thing is wonderful, but not at that price," for example, is a subjective statement with a tone that implies that the price makes the object less appealing. Companies can discern such nuances using a smart sentiment API.



Words like "love" and "hate" have strong positive (+1) and negative (-1) polarity ratings. These are simple to grasp. However, there are in-between conjugations of words, such as "not so awful," that might indicate "average" and so fall in the middle of the spectrum (-75). When sentences like these are omitted, the sentiment score suffers.


Sentiment analysis software can readily identify these mid-polar phrases and terms to provide a comprehensive perspective of a statement. Topic-based sentiment analysis can provide a well-rounded analysis in this context. In contrast, aspect-based sentiment analysis can provide an in-depth perspective of numerous factors inside a comment.



Irony and sarcasm are used in informal chats and memes on social media. Communicating a negative attitude with backhanded compliments might make sentiment analysis technologies struggle to determine the genuine context of what the answer is truly saying. As a result, sometimes, a bigger volume of "positive" input is unfavorable.


When someone submits anything, a top-tier sentiment analysis API will be able to recognise the context of the language used and everything else involved in establishing true sentiment. For this, the language dataset on which the sentiment analysis model was trained must be exact and large.

Sentiment Analysis Applications

  • Because they are unsolicited, social media posts frequently include some of the most honest thoughts about your products, services, and enterprises. With sentiment analysis software, you can sift through all of that data in minutes and examine individual feelings as well as general public sentiment across all social platforms.
  • Customer service administration has several issues because of the vast volume of requests, diversified themes, and diverse branches within a firm, not to mention the urgency of every particular request. Sentiment analysis using natural language understanding (NLU) scans ordinary human language for meaning, emotion, tone, and other characteristics to comprehend client requests the same way a person would. To prioritize important concerns, you may automatically handle customer service requests, online chats, phone calls, and emails based on emotion.
  • One of the most common uses of sentiment analysis in business is brand monitoring. Bad reviews may quickly accumulate online, and the longer you leave them, the worse the problem becomes. You will be warned promptly about bad brand references if you use sentiment analysis techniques.
  • Your consumer input from the web, customer surveys, chats, call centers, and emails should be combined and evaluated. Sentiment analysis enables you to categorize and organize this data to detect trends and reoccurring issues and concerns.

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Sentiment Analysis Tools 

There are several sentiment analysis tools accessible, but not all of them are created equal. Some are much easier to use than others, while others need a thorough understanding of data science. Check out this list of the most successful ones:

  • MonkeyLearn
  • Lexalytics
  • Brandwatch
  • Social Searcher
  • MeaningCloud
  • Talkwalker's Quick Search
  • Rosette
  • Repustate
  • Clarabridge
  • Aylien
  • Social Mention
  • Critical Mention
  • Awario
  • Hootsuite Insights
  • Hubspot's Service Hub


In today's emotion-driven industry, sentiment analysis is one of the most useful technologies. However, it is not a simple operation; if done poorly, the findings might be wrong. As a result, it's critical to partner with a firm that provides sentiment analysis solutions. 

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1. What is Sentiment Analysis?

It is the computationally recognizing and classifying views stated in a text to assess whether the writer's attitude toward a specific topic, product, etc., is negative, positive, or neutral.

2. Why is sentiment analysis important?

Sentiment analysis is a useful marketing technique that allows product managers to understand the emotions of their customers in their marketing efforts. It is important for identifying products and brands, customer loyalty, customer satisfaction, the effectiveness of marketing and advertising, and product uptake.

3. What do you mean by sentiment analysis?

The natural language processing (NLP) approach of sentiment analysis, sometimes referred to as opinion mining, identifies the emotional undertone of a body of text. This popular technique is used by businesses to identify and group client opinions regarding a certain good, service, or concept.

4. What is sentiment analysis, and how it works?

Sentiment analysis (also known as opinion mining) is a natural language processing (NLP) approach that determines whether the input is negative, positive, or neutral. Sentiment analysis on textual data is frequently used to assist organizations in monitoring brand and product sentiment in consumer feedback and understanding customer demands.

5. Is sentiment analysis AI or ML?

It mines, extracts, and categorizes consumers' views about a company, product, person, service, event, or concept using machine learning (ML), natural language processing (NLP), data mining, and artificial intelligence (AI) techniques.

6. What are the four main steps of sentiment analysis?

Step 1: The first step is to collect data.

Step 2: Clean up the text.

Step 3: The next step is to analyze the data.

Step 4: Analyze the results.

7. Which algorithm is used for sentiment analysis?

Naive Bayes is a basic collection of probabilistic algorithms that assigns a probability of whether a given word or phrase should be regarded as positive or negative for sentiment analysis categorization. But that's a lot of numbers! Essentially, Naive Bayes compares words to one another.

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