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clustering-for-customer-segmentation

clustering-for-customer-segmentation- kaggle

Details from Kaggle competition

Problem Statement Customer Personality Analysis is a detailed analysis of a company’s ideal customers. It helps a business to better understand its customers and makes it easier for them to modify products according to the specific needs, behaviors and concerns of different types of customers.

Customer personality analysis helps a business to modify its product based on its target customers from different types of customer segments. For example, instead of spending money to market a new product to every customer in the company’s database, a company can analyze which customer segment is most likely to buy the product and then market the product only on that particular segment.

Content Attributes People ID: Customer's unique identifier Year_Birth: Customer's birth year Education: Customer's education level Marital_Status: Customer's marital status Income: Customer's yearly household income Kidhome: Number of children in customer's household Teenhome: Number of teenagers in customer's household Dt_Customer: Date of customer's enrollment with the company Recency: Number of days since customer's last purchase Complain: 1 if the customer complained in the last 2 years, 0 otherwise

Products

MntWines: Amount spent on wine in last 2 years MntFruits: Amount spent on fruits in last 2 years MntMeatProducts: Amount spent on meat in last 2 years MntFishProducts: Amount spent on fish in last 2 years MntSweetProducts: Amount spent on sweets in last 2 years MntGoldProds: Amount spent on gold in last 2 years

Promotion

NumDealsPurchases: Number of purchases made with a discount AcceptedCmp1: 1 if customer accepted the offer in the 1st campaign, 0 otherwise AcceptedCmp2: 1 if customer accepted the offer in the 2nd campaign, 0 otherwise AcceptedCmp3: 1 if customer accepted the offer in the 3rd campaign, 0 otherwise AcceptedCmp4: 1 if customer accepted the offer in the 4th campaign, 0 otherwise AcceptedCmp5: 1 if customer accepted the offer in the 5th campaign, 0 otherwise Response: 1 if customer accepted the offer in the last campaign, 0 otherwise

Place

NumWebPurchases: Number of purchases made through the company’s website NumCatalogPurchases: Number of purchases made using a catalogue NumStorePurchases: Number of purchases made directly in stores NumWebVisitsMonth: Number of visits to company’s website in the last month

Target Need to perform clustering to summarize customer segments.

Acknowledgement The dataset for this project is provided by Dr. Omar Romero-Hernandez.

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