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Customer Segmentation Analysis

Project Description

A machine learning project that performs customer segmentation using K-means clustering on transaction data to identify distinct customer groups based on shopping behavior and demographics.


Features

  • Data Analysis: Customer transaction data exploration
  • Clustering: K-means implementation for customer segmentation
  • Optimization: Silhouette analysis to determine optimal cluster count and Principal Component Analysis (PCA)
  • Visualization: Data patterns and cluster evaluation

Dataset

The dataset contains customer transaction records with features including:

  • Customer demographics (age, gender)
  • Purchase details (category, quantity, price)
  • Transaction information (payment method, date, location)

Installation & Requirements

Install the required libraries using pip:

pip install pandas scikit-learn matplotlib jupyter
jupyter notebook Customer_analysis.ipynb

Results

Optimal Clusters: 12 segments

Best Silhouette Score: 0.202

Method: K-means clustering with silhouette analysis and PCA

Technologies

Python

Scikit-learn

Unsupervised Machine Learning

Pandas

Matplotlib

Jupyter Notebook