Data Mining for the Retail Industry


Data Mining  is frequently described as “the process of extracting valid, authentic, and actionable information from large databases.” In other words, data mining derives patterns and trends that exist in data. These patterns and trends can be collected together and defined as a mining model. Mining models can be applied to specific business scenarios.  You can use data mining to answer questions such as:


  • What will customers buy? What products sell together?
  • How can a company predict which customers are at risk for churning?
  • Where has the marketplace been, and where is it going?
  • How can a business best analyze its Web site usage patterns?
  • How can an organization determine the success of a marketing campaign?
  • How can businesses prevent poor quality data from entering the system?
  • What are the best techniques for analyzing unstructured data, such as free-form text?

Applications of Data Mining in Retail:



Resources:


Comments (3)

  1. Andy says:

    Our company has developed a unique method of collecting customers data at the point of sale using fully customisable web based technology the interface allows the customer to enter information that is required eg. email , name , post/zip code. Great for multi store operations with all marketing controlled from one location.  This data can then be downloaded into a CSV file at a later time. retaildataminer com au