Find Your Best Customers with Customer Segmentation in Python
When it comes to finding out who your best customers are, Implement customer segmentation using RFM(Recency, Frequency, Monetary) analysis in Python is the best. RFM stands for Recency, Frequency and Monetary. It is a customer segmentation technique that uses past purchase behavior to divide customers into groups.
RFM Score Calculations
RECENCY (R): Days since last purchase
FREQUENCY (F): Total number of purchases
MONETARY VALUE (M): Total money this customer spent