Chapter 3. Customer Analytics

Customer analytics is a process in which we use the data of customer behavior to derive the most important business decisions using market segmentation and predictive analytics. Market segmentation is the process of dividing the user base into subgroups based on their behavior and other types of shared characteristics. This will help companies in providing customized products for each user segment. The result of this kind of analysis will lead the company to grow their business in an effective manner. Companies also make more profit. There are a lot of advantages. I know this is only a brief discussion about market segmentation, but just bear with me for a while. I will give you all the necessary information in the upcoming sections.

Companies can use the result generated by market segmentation and predictive models for direct marketing, site selection, customer acquisition, and customer relationship management. In short, with the help of customer analytics,...