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Open Access Journal Article

Machine Learning Applications in Customer Segmentation

by David Martin 1,*
1
David Martin
*
Author to whom correspondence should be addressed.
MAD  2020 2(2):14; https://doi.org/10.69610/j.mad.20201130
Received: 1 October 2020 / Accepted: 23 October 2019 / Published Online: 30 November 2020
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Abstract

The field of machine learning has revolutionized various industries, including marketing and customer segmentation. This paper explores the applications of machine learning algorithms in customer segmentation, aiming to provide insights into how these techniques can enhance the understanding of customer behavior and tailor marketing strategies accordingly. Customer segmentation is a critical aspect of marketing, as it allows businesses to identify and target specific customer groups with tailored products and services. Machine learning algorithms, such as clustering, classification, and regression models, have been employed in customer segmentation to uncover patterns and relationships within large datasets. This study analyzes the effectiveness of these algorithms in segmenting customers, evaluates their performance, and identifies the key challenges and limitations associated with their implementation. The findings indicate that machine learning-based customer segmentation can significantly improve the accuracy and depth of insights, enabling businesses to develop more effective marketing campaigns and enhance customer satisfaction. However, the study also highlights the need for careful consideration of data quality, model complexity, and interpretability when applying machine learning techniques to customer segmentation.

Keywords: Machine Learning; Customer Segmentation; Clustering Algorithms; Classification Models; Marketing Strategies.;
Copyright: © 2020 by Martin. This is an open-access article distributed under the terms of the Creative Commons Attribution License (CC BY) (Creative Commons Attribution 4.0 International License). The use, distribution or reproduction in other forums is permitted, provided the original author(s) or licensor are credited and that the original publication in this journal is cited, in accordance with accepted academic practice. No use, distribution or reproduction is permitted which does not comply with these terms.
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APA Style
Martin, D. (2020). Machine Learning Applications in Customer Segmentation. Management Analytics and Decision, 2(2), 14. doi:10.69610/j.mad.20201130
ACS Style
Martin, D. Machine Learning Applications in Customer Segmentation. Management Analytics and Decision, 2020, 2, 14. doi:10.69610/j.mad.20201130
AMA Style
Martin D. Machine Learning Applications in Customer Segmentation. Management Analytics and Decision; 2020, 2(2):14. doi:10.69610/j.mad.20201130
Chicago/Turabian Style
Martin, David 2020. "Machine Learning Applications in Customer Segmentation" Management Analytics and Decision 2, no.2:14. doi:10.69610/j.mad.20201130

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ACS Style
Martin, D. Machine Learning Applications in Customer Segmentation. Management Analytics and Decision, 2020, 2, 14. doi:10.69610/j.mad.20201130
AMA Style
Martin D. Machine Learning Applications in Customer Segmentation. Management Analytics and Decision; 2020, 2(2):14. doi:10.69610/j.mad.20201130
Chicago/Turabian Style
Martin, David 2020. "Machine Learning Applications in Customer Segmentation" Management Analytics and Decision 2, no.2:14. doi:10.69610/j.mad.20201130
APA style
Martin, D. (2020). Machine Learning Applications in Customer Segmentation. Management Analytics and Decision, 2(2), 14. doi:10.69610/j.mad.20201130

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