Customer Profiling (guest author: Paul Cook)
Profiling is a data mining technique used to find patterns and trends in customer data. In today's post we will explore the application of this technique. As we will demonstrate in this article, profiling is both simple and powerful. Its great strength is its simplicity. It is ideal for communicating large amounts of information in a user-friendly way. Profiles are clear, comprehensive, and easy to read, which makes them ideal for communicating with a business or non-technical audience. Profiling describes a group of people by summarizing information about them. Profiles are typically used to answer questions like: What do my customers look like? Which prospects are most likely to buy? What drives customer churn? Often, a profile is all you need to answer these questions. Other times, you may choose to use a profile for exploratory data analysis before multivariate modelling. Profiling is often used to find hot prospects for marketing campaigns. By comparing...