Customer segmentation
Clustering can help segment customers based on their purchasing behavior, preferences, or demographic information. By analyzing customer data such as browsing history, purchase history, location, and demographic details, you can apply clustering algorithms to identify distinct customer segments. This information can then be used to personalize marketing campaigns, recommend relevant products, or tailor the user experience to different customer groups.
The dataset
We will use the e-commerce dataset, which can be downloaded as a CSV file from the UCI Machine Learning Repository: https://archive.ics.uci.edu/dataset/352/online+retail. It contains data for all the transactions that occurred between 01/12/2010 and 09/12/2011 for a UK-based and registered non-store online retailer.
The dataset contains the following columns:
InvoiceNo
: A 6-digit integral number uniquely assigned to each transactionStockCode
: A 5-digit integral number...