COMPARATIVE STUDY OF DIFFERENT SEGMENTATION MODELS TABLMMARY

AUTHOR TITLE AIM/PURPOSE METHODOLOGY FINDINGS CONCLUSIONS LIMITATIONS FURTHER

+YEAR (KEY) (GAPS) RESEARCH

Ashwani Data mining Estimating customer The framework uses The variables Estimating CLV has research where Incorporating
Kumar et al framework for lifetime value-based clustering for selected have good many advantages, DM techniques all CLV
2011 customer lifetime segmentation using segmentation and interpretability and and one of the are applied for parameters
value-based data Mining genetic algorithm for explanatory value, advantages is customer and estimating
segmentation optimization. which is very segregation of segmentation on / predicting
useful for decision customers the basis of CLV these CLV
making is lacking parameters by
and application in
DM
customer
techniques
segmentation
and CRM.

Weiyi Gao, SOM Clustering To investigate and Kohonen self- Customers were The paper touched Lost information Use of
Gangyi Analysis for organizing map classified into 7 on the possibilities reducing
Qian& analyze customer due to complex
Hong Xu Telecommunication segments in groups. The of SOMs. A type of data mapped on features
Customer telecommunication characteristics of neural network, a small array. with PCA
Segmentation each group are SOMs provide an
industry
deeply analyzed in elegant solution to
order to draw a many arduous
clear outline of problems with
each group. large or difficult to
interpret data sets.
However
Information might
be lost if a complex
set of data is
mapped onto an
array that has a
resolution too small
leading to indefinite
results

Larose Application of Data The paper aimed to Support Vector Most of the studies Although most of Most of the Emphasized
(2014), Mining Techniques study different Data Machine(SVM) had used various the studies had studies had used for two
techniques, but were
for Customer Mining techniques used various various clustering
in weak
Segmentation in used so far for visualization, techniques, but techniques, but method for
Real Time Business customer multidimensionality were weak in were weak in dimensionality
Intelligence segmentation in reduction and not handling dimensionality reduction in
 online retail man multidimensionality, reduction and visualization
Industry y on visualizing visualization visualization
market segments as
Previous studies
identified by several
authors (e.g., Coene, had emphasized the
2011). Such need for use of
methodology would more than one
be technique for
effective and easily handling
transferable to multidimensionality
market managers and
also helps to and visualization
visualize knowledge
underlying the data
set

Hybrid Clustering To fulfill the need Crisp clustering An extensive The goal of this Useable results Further
Leon a For B2c Customer for research on the algorithms literature research paper was to find a could not be research
Campo(2015 Segmentation concept of merging on service which would delivered. should aim to
two or more existing customer be able to combine conduct
customer segmentation social activity data experiments
segmentation solutions and and historic on what value
techniques in a classification customer data for delivers
unitary structure techniques for useable
companies focusing
social activity data results.
on B2C.
was perform
ed
which resulted in a
conceptual
framework.

Bose & Hybrid Models To use two-stage two-stage hybrid The results  Out of the five the use of To carryout
Chen Using hybrid models models of Data indicate that the unsupervised hybrid does not literature
(2009). Unsupervised consisting of mining use of clustering clustering prove for review on
Clustering for unsupervised led to improved techniques used, efficient results unsupervised
segmentation of clustering top decile lift for none is found to hence the need learning
customer techniques and the hybrid models dominate others. for this study techniques
decision trees in compared with But interesting for
customer the benchmark attributes and rules segmentation
segmentation case when no that can help
clustering is used. marketing experts
It is also shown in customer
 that using cluster segmentation
labels as inputs to
the decision trees
is a preferred
method of
hybridization
Trappey, Clustering To provide a two‐stage The clusters The paper finds Through the To carry out
Trappey, analysis clustering clustering approach separate logistic that distribution analysis of literature
Chang & prioritization of approach to combined with preferences and and delivery service review on
Huang, automobile segment supply Ward's minimum‐ outsourcing services hold the preferences and unsupervised
(2010). logistics services chain partners in variance method patterns of highest clustering, the learning
the automobile and the K‐means aftermarket parts percentage of paper identifies techniques
industry and algorithm, the suppliers, services the key logistic for transport
prioritize services logistics  original outsourced services that modeling
offered by third equipment among the can be
party logistics service parts manufacturers. customized for
service (3PL) suppliers, members of the
providers. original automobile
equipment supply chain. A
manufacturer case is provided
parts suppliers, which
and tier one car demonstrates
makers.  how a logistics
company can
provide
customized
service designs
for specific
target markets
and customers.
Mining data to
discover
customer segments

Francoise Combining Several To describe how  SOM Approaches The knowledge It was shown how Development of Continuously
Fessant et al SOM Approaches data mining gathered about the the mining of the development
 in Data Mining: techniques applied customers is not network methodology of the
Application to to network only qualitative; measurement data still needed for methodology
ADSL Customer measurement data also able to can reveal the usage improvement of in order to
Behaviors can help to extract quantify the patterns of ADSL the results improve our
Analysis some qualitative population customers knowledge of
and quantitative associated to each customer’s
knowledge. profile, the behaviors.
volumes consumed
on the applications
or the daily cycle
A M Masbar Segmentation of To conduct the Self-Organizing The results of By using the six Information might Emphasize on
Rus et al Natural Gas segmentation by Map (SOM) cluster analysis variables (area, type be lost if a the use of a
2018 Customers in considering the shows that each of customer, complex set of clustering
Industrial Sector homogeneity of the cluster has a industrial sector, data is mapped Algorithm and
Using Self- input data which characteristic that daily average, onto an array that a
Organizing Map has been can be used as a standard deviation, has a resolution reducing
(SOM) Method. determined for reference in the and total deviation), too small to features
creation of 37 clusters are display the fine with PCA
every sample. so as
customer formed with lowest structures
to set up a
segmentation. 1 value of error
marketing strategy
validation
to be right on
target