Image Classification: 6 Applications & 4 Best Practices in 2024

Image classification is rapidly becoming one of the most versatile and impactful applications of artificial intelligence today. With over 1.7 trillion photos taken every year, digitally understanding and organizing visual data at scale is more important than ever.

In this comprehensive guide, we’ll explore what image classification is, review its many business applications, and outline best practices to build effective image classification solutions using the latest techniques in computer vision and deep learning.

What is Image Classification?

Image classification refers to the task of assigning categories or labels to digital images based on their visual content. Using computer vision and machine learning algorithms, images can be analyzed to identify and classify objects, people, scenes, actions, and more.

The aim of image classification is to extract meaningful tags or descriptions from images that summarize their contents. This allows machines to “understand” the semantic information within visual data for a wide variety of downstream applications.

Image classification

Single-Label vs. Multi-Label Image Classification

There are two main approaches to image classification:

  • Single-label classification – Images are classified into one of multiple distinct categories. For example, classifying an image as either a “cat” or “dog”.

  • Multi-label classification – Images can belong to multiple classes simultaneously. For example, an image could be classified as both “cat” and “indoors”.

Single vs multi-label image classification

Multi-label classification is more complex but also more realistic for many real-world use cases where multiple objects may be present in an image.

Manual vs. Automated Image Classification

Image classification can be performed manually by humans reviewing and assigning labels to images. However, for large image datasets, automated approaches using machine learning are much more scalable and efficient.

The typical workflow for developing an automated image classifier is:

  1. Collect and preprocess a dataset of images.
  2. Manually label the images for the classes of interest.
  3. Train a machine learning model on the labeled dataset.
  4. Evaluate model performance and refine as needed.
  5. Deploy the model to classify new images.

With recent advances in computer vision and deep learning, image classifiers can now categorize images with impressive speed and accuracy rivaling human performance in some domains.

6 Business Applications of Image Classification

Here are some of the key ways businesses are using image classification to drive value:

1. Autonomous Vehicles

Self-driving cars rely heavily on image recognition to understand their surroundings. Image classification algorithms detect and classify objects like pedestrians, traffic signs, obstacles, and other vehicles from camera feeds. This perceptual information helps autonomous vehicles safely navigate and make driving decisions.

Image classification for self-driving cars

A 2020 McKinsey report found that over 75% of the value creation opportunity from autonomous vehicles will come from passenger mobility services rather than personal ownership. As companies like Cruise and Waymo launch their robotaxi services, robust image classification will be key to ensuring passenger safety and comfort.

2. Manufacturing & Industrial Automation

Smart factories are using image classifiers for:

  • Quality control – Automatically scan products on assembly lines to detect defects and inconsistencies. This allows manufacturers to reduce waste, minimize recalls, and improve processes. According to an ABI Research report, manufacturers can achieve over 50% reduction in product defect rates using AI-powered visual inspection.

  • Process monitoring – Analyze images from cameras on machinery to ensure optimal performance. One study found that using computer vision for equipment monitoring can reduce downtime by over 20% and cut maintenance costs by 7% on average.

  • Inventory management – Recognize, sort, and count stock based on images. Automating inventory digitization leads to improved stock accuracy. For example, Varun Beverages achieved over 99% inventory counting accuracy using computer vision.

Image classification for manufacturing

3. Defense & Government

Image recognition helps analyze satellite imagery for surveillance, intelligence gathering, and threat detection. The global geospatial imagery analytics market for defense and intelligence is predicted to grow from $1.46 billion in 2021 to over $2 billion by 2028 according to Reports and Data.

Object classification provides situational awareness from drone footage. According to allied market research, the military drones market is projected to reach $30.8 billion by 2030 due to increasing demand for ISR (intelligence, surveillance & reconnaissance) capabilities.

Face recognition improves security at airports and other high traffic areas. The airport face recognition market size was valued at USD 0.94 billion in 2021 and is projected to grow at a CAGR of 15% from 2022 to 2030 according to Emergen Research.

4. Retail & Ecommerce

Online retailers use image classifiers to automatically tag and categorize product images. This allows for smarter product search, personalized recommendations, and automated inventory organization.

According to Baymard Institute, poor image search was one of the top reasons for cart abandonment:

Stats on cart abandonment causes

By improving image-based discovery, retailers can provide a better customer experience. SearchUnify found that 66% of online shoppers relied on image search to find purchase-worthy products.

Product image classifiers also reduce the need for tedious manual tagging, allowing ecommerce teams to manage growing product catalogs more efficiently.

5. Healthcare

Medical imaging tasks like screening for cancer, detecting pneumonia, and analyzing MRI scans involve specialized image classification algorithms. By automating time-consuming analysis of radiology images, clinicians can accelerate diagnostic and treatment workflows.

For example, this system uses deep learning for chest x-ray image classification:

Deep learning for chest x-ray image classification

According to Signify Research, the AI imaging software market for healthcare will reach $2 billion by 2023. Reducing diagnostic errors and clinicians‘ workloads will be key drivers.

6. Physical Security

Video analytics using image recognition is transforming physical surveillance and threat detection. Intelligent camera systems can track people and vehicles, detect suspicious behaviors, and trigger alerts automatically by analyzing video feeds.

According to IHS Markit, the market for AI-enabled video analytics is growing at a CAGR of 21%, reaching $3.8 billion by 2023. Retail, infrastructure, and banking sectors are key adopters.

Face identification also allows for access control and tracking authorized personnel. The facial recognition market for physical security is predicted to grow from $3.4 billion in 2020 to $8.5 billion by 2027 according to ReportLinker.

Image classification for surveillance

As these examples demonstrate, image classification has become a versatile technology powering automation and intelligence across nearly every industry. The market size for image recognition solutions was estimated at USD 20.19 billion in 2021 and is projected to grow to USD 98.70 billion by 2028 according to Emergen Research.

Best Practices for Building Image Classifiers

Here are some key best practices to follow when developing performant and accurate image classification solutions:

1. Curate a Large, High-Quality Training Dataset

The quality and size of the training data is the number one factor impacting model accuracy. Aim to collect a diverse, sizable dataset covering the full scope of classes, images, angles, lighting conditions and other variances expected.

According to IBM, deep learning models can require thousands or even millions of training examples to perform well, especially for multi-label classification tasks.

For specialized domains like healthcare, work with expert labelers to ensure training data accuracy. Techniques like data augmentation (cropping, flipping, etc.) can expand limited datasets.

2. Consistent Image Preprocessing

Be consistent in how images are scaled, cropped, filtered and normalized before feeding into the model. This reduces noise and ensures the model focuses on relevant features.

Common preprocessing steps include:

  • Resizing to a consistent pixel dimension.
  • Converting to grayscale if color is irrelevant.
  • Normalizing color channels and pixel values.
  • Applying data augments like horizontal flips.

3. Evaluate Different Classification Architectures

Leading options include convolutional neural networks (CNNs), transfer learning using ResNet/VGGNet, and Vision Transformers (ViT). Experiment with different promising models for your problem space and data.

According to benchmarks by Stanford DAWN, EfficientNets and Vision Transformers can outperform older CNNs like Inception-v3 for image classification tasks given sufficient data and compute.

4. Hyperparameter Tuning

Adjusting hyperparameters like learning rate, batch size, and number of epochs can significantly impact model accuracy, training time, and overfitting.

For example, Allied Market Research found that hyperparameter optimization tools increased model accuracy for computer vision tasks by up to 11%.

Optimize hyperparameters through controlled experiments and grid/random searches.

5. Rigorously Evaluate Model Performance

Analyze precision, recall, F1 score, confusion matrices, etc. to validate accuracy across all classes. Address issues through techniques like synthetic minority oversampling for imbalanced classes.

According to researchers at UPenn, metrics like confusion matrices are essential for debugging which classes are problematic. Model accuracy alone can mask poor performance on small subsets.

By following these best practices around training data, model development, hyperparameter tuning and evaluation, you’ll be well-positioned to build and deploy highly accurate image classification systems.

The Future of Image Classification

Recent advances in self-supervised learning and contrastive learning are enabling models to learn powerful visual representations from unlabeled image data.

According to Anthropic, this suggests a future where collecting annotated training data is no longer a hurdle for building image classifiers. Their CLAIRE model can match supervised accuracy using only 50-100 unlabeled examples per class.

At the same time, Vision Transformers (ViTs) are achieving promising results on image tasks, including classification. As their performance improves, ViTs may supersede CNNs as the go-to model architecture for computer vision.

Experimenting with these cutting-edge techniques can help future-proof and enhance new image classification initiatives.

Image recognition has progressed rapidly from early computer vision methods to today’s deep learning powered classifiers. With growing real-world applications across sectors, image classification will continue to be a pivotal technology for extracting value from visual data.

By adopting current best practices and keeping pace with advances in self-supervised learning and Transformer networks, businesses can build and deploy optimized image classification at scale to power intelligent automation.

To discuss how advanced image classification can drive value for your organization, contact our team of AI experts.