Insights on how to realize the benefits of new technologies.
Market Basket Analysis is the data mining method that allows the discovery of products purchased together at online and brick-and-mortar stores. However, when we have a long list of product combinations, an essential question is prioritizing them and learning which bundles are more critical. To solve this problem, we must ask: What is Lift in … Read more
In data analytics, understanding the nuances of computing two-way and three-way lift offers invaluable insights. These calculations reveal meaningful relationships and patterns within a dataset’s products. Two-way lift computation highlights associations between product pairs, illuminating their joint occurrence likelihood. Moreover, three-way lift enables triple-item relationship analysis, revealing subtle consumer behaviors that can fuel impactful marketing … Read more
Understanding customer purchase behavior is paramount in today’s data-centric business landscape. Market Basket Analysis (MBA) is a valuable tool for unveiling the advantages hidden within these behaviors, offering crucial insights for businesses. This article explores ten key advantages of Market Basket Analysis, emphasizing its transformative role in driving revenue, refining customer experiences, and nurturing sustainable … Read more
In the data mining and market analysis spheres lift association rules are a pivotal tool, driving impactful decision-making. Picture a supermarket placing its items strategically: vegetables in one aisle, dairy in another, and cosmetics in a separate section. These deliberate placements not only streamline shopping but also foster cross-selling. Association rules further aid us in … Read more
Understanding their customers’ purchasing behaviors is critical to retailers. To this end, Market Basket Analysis is a preferred technique to uncover products purchased in bundles. This post shows an example of how to build a simple Market Basket Analysis in Tableau. Tableau is a relatively new business intelligence tool and has quickly acquired a sizable … Read more
Have you ever wondered how Amazon, Netflix and Spotify make product recommendations? At the heart of these systems is a technique called Market Basket Analysis. Defining actions around what products customers buy in bundles is a well-known marketing strategy. Nonetheless, some product combinations are easy to identify, while others need more analysis. Examples of Market … Read more