... DataMiningTechniquesFor Marketing, Sales, andCustomerRelationshipManagement Second Edition Michael J.A Berry Gordon S Linoff DataMiningTechniquesFor Marketing, Sales, andCustomerRelationship ... Building a DataMining Group in IT Building a DataMining Group in the Business Units What to Look for in DataMining Staff DataMining Infrastructure The Mining Platform The Scoring Platform One ... dataminingtechniquesand the strengths and weaknesses of each in the context of customerrelationshipmanagement The Role of the CustomerRelationshipManagement Strategy To be effective, data...
... CHAPTER DataMining Applications in MarketingandCustomerRelationshipManagement Some people find dataminingtechniques interesting from a technical per spective However, for most people, the techniques ... that, on a technical level, the datamining effort is working and the data is reasonably accurate This can be quite comforting If the dataand the dataminingtechniques applied to it are powerful ... into datamining problems as well What Does a DataMining Problem Look Like? To translate a business problem into a datamining problem, it should be refor mulated as one of the six data mining...
... channel B customer a figure that is as valuable as the costper-response measures often used to rate channels DataMiningforCustomerRelationshipManagementCustomerrelationshipmanagement ... customerdata by beginning to track customers from their first response, even before they become customers, and gathering and storing additional information when customers are acquired Once customers ... ■ Use customers in California for the challenger and everyone else for the champion ■ ■ Use the percent lowest and percent highest value customers for the challenger, and everyone else for the...
... hands on sub stantial quantities of real data to use for training sets Consequently, they spent much time and effort trying to coax the last few drops of information from their impoverished datasets—a ... generalize and learn from data mimics, in some sense, our own ability to learn from experience This ability is useful fordata mining, and it also makes neural networks an exciting area for research, ... common for neural networks are the logistic and the hyperbolic tangent The major difference between them is the range of their outputs, between andfor the logistic and between –1 andfor the...
... SUBCATEGORY DESCRIPTION etc Figure 9.2 A data model for transaction-level market basket data typically has three tables, one for the customer, one for the order, and one for the order line 289 290 Chapter ... reasoning is a powerful datamining technique that can be used to solve a wide variety of datamining problems involving classification or estimation Unlike other dataminingtechniques that use ... In a relational database, the data structure for market basket data often looks similar to Figure 9.2 This data structure includes four important entities LINE ITEM CUSTOMERCUSTOMER ID NAME...
... used for forecasting customer stops The second component of a customer- level forecast is a bit more difficult to calculate This component is the effect of new customers on the forecast, and the ... the world of datamininganddata analysis, the use of genetic algorithms has not been as widespread as the use of other techniquesDatamining focuses on tasks such as classification and prediction, ... the case that customers who have been around for a while are actually better customers than new customers For whatever reason, longer tenured customers have stuck around in the past and are probably...
... patterns in dataand therefore has a firm requirement for clean and consistent data Much of the effort behind datamining endeavors is in the steps of identifying, acquiring, and cleansing the data ... transformation, and load (ETL) move data between different data stores Data Warehousing, OLAP, andDataMining ■ ■ The central repository is the main store for the data warehouse ■ ■ The metadata ... the data, as business users would understand it An entity relationship diagram describes the layout of datafor a simple credit card database With respect to data mining, relational databases (and...
... specifications for a datamining platform adequate for the anticipated dataset sizes and expected usage patterns The Scoring Platform The scoring platform is where models developed on the mining platform ... values for that column Table 17.1 shows range characteristics for typical types of data used fordatamining TE 542 Table 17.1 Range Characteristics for Typical Types of Data Used forDataMining ... IT-based datamining projects Building the DataMining Environment Building a DataMining Group in the Business Units The alternative to putting the datamining group where the dataand comput...
... DataMining Technique The choice of which datamining technique or techniques to apply depends on the particular datamining task to be accomplished and on the data available for analysis Before ... initial datamining effort and its success 597 598 Chapter 18 Getting Started The full integration of datamining into a company’s customerrelationshipmanagement strategy is a large and daunting ... DataforMining WA R N I N G Wthe most pernicious data problem are the ones you don’t know about For this reason, datamining cannot be performed in a vacuum; input from business people and data...
... nature of the datamining task, the nature of the available data, and the skills and preferences of the data miner Datamining comes in two flavors—directed and undirected Directed datamining attempts ... use of data mining, using the virtuous cycle of datamining Lessons Learned DataMining is an important component of analytic customerrelationshipmanagement The goal of analytic customerrelationship ... problem Miningdata to transform the data into actionable information Acting on the information Measuring the results Transform data into actionable information using dataminingtechniques Identify...
... CHAPTER DataMining Applications in MarketingandCustomerRelationshipManagement Some people find dataminingtechniques interesting from a technical per spective However, for most people, the techniques ... where you already have customers and in similar areas Census information can be valuable, both for understanding where concentrations of customers are located andfor determining the profile of ... direct marketing This discussion is independent of the dataDataMining Applications miningtechniques used to generate the scores It is worth noting, however, that many of the datamining techniques...
... channel B customer a figure that is as valuable as the costper-response measures often used to rate channels DataMiningforCustomerRelationshipManagementCustomerrelationshipmanagement ... customerdata by beginning to track customers from their first response, even before they become customers, and gathering and storing additional information when customers are acquired Once customers ... products and many customers have a similar mix, and the mix is often determined by product bundling and previous marketing efforts Retention and Churn Customer attrition is an important issue for...
... ■ Use customers in California for the challenger and everyone else for the champion ■ ■ Use the percent lowest and percent highest value customers for the challenger, and everyone else for the ... percent most recent customers for the challenger, and every one else for the champion ■ ■ Use the customers with telephone numbers for the telemarketing cam paign; everyone else for the direct mail ... extensions of standard statistics Although data miners and The Lure of Statistics: DataMining Using Familiar Tools statisticians use similar techniques to solve similar problems, the datamining approach...
... generalize and learn from data mimics, in some sense, our own ability to learn from experience This ability is useful fordata mining, and it also makes neural networks an exciting area for research, ... common for neural networks are the logistic and the hyperbolic tangent The major difference between them is the range of their outputs, between andfor the logistic and between –1 andfor the ... the test set to see how well it performs Apply the model generated by the network to predict outcomes for unknown inputs Fortunately, datamining software now performs most of these steps auto...
... data These patterns can be turned into new features of the data, for use in conjunction with other directed dataminingtechniques 347 CHAPTER 11 Automatic Cluster Detection The dataminingtechniques ... but the excess The data may contain so much complex structure that even the best dataminingtechniques are unable to coax out meaningful patterns When mining such a database for the answer to ... that the databases encountered in marketing, sales, andcustomer support are not about points in space They are about purchases, phone calls, airplane trips, car registrations, and a thousand other...
... very valuable for understanding customers Although the roots and terminol ogy come from medical research and failure analysis in manufacturing, the concepts are tailor made formarketing Survival ... cus tomer databases often contain data on millions of customers and former customers Much of the statistical background of survival analysis is focused on extracting every last bit of information ... the case that customers who have been around for a while are actually better customers than new customers For whatever reason, longer tenured customers have stuck around in the past and are probably...
... DataMining Technique The choice of which datamining technique or techniques to apply depends on the particular datamining task to be accomplished and on the data available for analysis Before ... initial datamining effort and its success 597 598 Chapter 18 Getting Started The full integration of datamining into a company’s customerrelationshipmanagement strategy is a large and daunting ... DataforMining WA R N I N G Wthe most pernicious data problem are the ones you don’t know about For this reason, datamining cannot be performed in a vacuum; input from business people and data...