MALL CUSTOMER SEGMENTATION

Submitted by:
UNDER THE GUIDANCE OF: Batch No:8
Sandhya Krishna Siddi Sirisha - 18NN1A1249
IT Department
Garikapati Divya    - 18NN1A1215
Naidu Sri Pooja - 18NN1A1231
Sk . Afra Nouf - 18NN1A1247
 Abstract
❖The project is designed to segment the customers using machine learning.

❖Suppose that we’ve got an organization that markets a variety of products, and you
wish to understand how well the marketing performance of the product will.

❖We can divide customers based on their buying behavior on the market.

❖ They divide customers into groups per common characteristics like gender, age,
interests, and spending habits so that they will market to every cluster effectively.

❖Using K-means clustering and additionally visualize the gender and age
distributions. Then analyze their annual incomes and spending scores.
 Introduction
❖Customer Segmentation occasionally referred to as market
segmentation, it is a method of analysing a customer base and grouping
customers into categories or segments which share attributes.
❖The selected criteria are used to produce customer segments with
similar values, requirements, and wants.
❖Segmentation is the fact of grouping analogous elements having the
same characteristics into the same segment.
❖ The resulting segments resolve the concerned population into groups
that share the same features, and so can be handled the same way.
❖To note that Clustering can be also used for other environments and
topics like churn and fraud.
Attributes used

Then we have the following features:

❖1. Customer ID: It is the unique ID given to a customer.

❖2. Gender: Gender of the customer.

❖3. Age: The age of the customer.

❖4. Annual Income (k$): It is the periodic income of the customer.

❖5. Spending Score: It is the score (out of 100) given to a customer by the mall
authorities, based on the money spent and the behaviour of the customer.
Existing Model
Drawbacks of Existing Model
❖Segmentation increases costs using mini shift k-means.When
a firm attempts to serve several market segments, there is
proliferation of products.
❖Larger inventory has to be maintained by both the
manufacturer and the distributor.
❖Clustering data of large size is difficult.
❖Scaling with multi-dimensions is not possible.
❖Efficiency is very less when compared to the proposed model.
Proposed Model
 Proposed Algorithm
• 
 Euclidean Distance Measure
.
Advantages Of Proposed Model

❖The marketer can spot and compare marketing opportunities. He can examine the
needs of each segment and determine to what extent the current offering satisfies
customer needs.
❖The marketer can modify his product/service and marketing appeals to suit the
target segment.
❖Segmentation facilitates setting up of realistic selling targets and priorities.
❖Appropriate service packages can be developed for each market segmentation.
❖It is possible to deal with the competition more effectively by using resources more
effectively.
Software Specifications
❖Python
numpy
pandas

Hardware Specifications
❖Intel core i3
❖RAM :4GB
❖Hard disk storage : 10GB
Outputs