The key asset of any company is its customers. It is therefore very important to identify their needs and preferences as well as to know the factors affecting their behavior. The collected customer data allows predicting customer behavior and creating appropriate marketing offers, sales plans, and retention programs that match customers’ needs.
Data mining tools are used to create models that predict customer behavior by using historical data. These methods can be applied to answer questions like:
Below we present examples of challenges which can be solved by applying Data Mining methods.
In the next part we will show, what types of analyses are used in estimating the customer value over time, in selecting best parameters for the given product or service and in effective sales forecasting.
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