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RFM-Segmentation-Analysis-Using-MySQL-and-Power-Bi

📌 Overview

This project demonstrates how RFM Segmentation (Recency, Frequency, Monetary) can be applied to customer data by integrating MySQL, Python, and Power BI. The workflow covers database creation, bulk data insertion, cleaning, and visualization. The dashboard helps identify customer behaviors, sales contributions, and segment-based insights for effective customer relationship management and marketing strategies.

🔑 Key Features

1.Database & Data Handling

Created a MySQL database and tables for RFM segmentation.

Used Python bulk insertion for efficient data upload.

Cleaned and transformed data using SQL queries.

2.Power BI Integration

Direct connection between MySQL and Power BI.

Designed a dynamic RFM Dashboard with slicers, drill-throughs, and segment-based visuals.

3.Dashboard Insights

Sales by Segment: Potential Loyalists & Promising Customers dominate total sales.

Customers by Segment: Distribution across categories such as At Risk, Needs Attention, Champions, etc.

Total Metrics:

Sales: 10.03M

Customers: 92

Orders: 99.07K

Trend Analysis: Customer growth tracked monthly (2004–2005).

Scatter Plot: Shows Recency, Frequency, and Monetary values to identify customer clusters.

đź’ˇ Recommendations

1.Focus on Potential Loyalists & Promising Customers

Convert them into loyal or champion customers through targeted loyalty programs, personalized offers, and consistent engagement.

2.Re-Engage At-Risk & Needs Attention Customers

Run reactivation campaigns (discounts, follow-ups, special communication).

Identify why they are disengaging (e.g., product relevance, price, service quality).

3.Nurture Champions & Loyal Customers

Provide exclusive rewards, referral incentives, and premium services.

Use them as brand advocates.

4.Optimize Sleeping Segments

For “About to Sleep” customers, trigger retention campaigns before they churn.

Automate reminders and time-limited promotions.

5.Continuous Monitoring

Refresh RFM analysis regularly using the MySQL–Power BI pipeline.

Track how campaigns affect customer migration between segments.

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