A Systematic Review on Customer Segmentation Approach using Machine Learning

Nowadays, maintaining customer loyalty and customer focus are the main challenges facing the retail industry. This raises the need to strengthen marketing strategies over time. This paper proposes a systematic approach to targeting customers and providing companies with maximum profits. An important starting point is to analyze the sales data obtained from the purchase history and determine the parameters with maximum correlation. Depending on the respective clusters, appropriate resources can be sent to profitable customers using machine learning algorithms like K-Means clustering, hierarchical clustering, DBSCAN clustering is used for customer segmentation used for providing appropriate recommendations to the customers. Following the successful clustering process, take the lead Organizations can make accurate decisions and organizations can delivers new products and services, and some can changes to current product services according to customer needs by properly identifying customers.