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Data Science for Marketing Analytics

Data Science for Marketing Analytics

By : Tommy Blanchard, Debasish Behera, Pranshu Bhatnagar
2.8 (5)
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Data Science for Marketing Analytics

Data Science for Marketing Analytics

2.8 (5)
By: Tommy Blanchard, Debasish Behera, Pranshu Bhatnagar

Overview of this book

Data Science for Marketing Analytics covers every stage of data analytics, from working with a raw dataset to segmenting a population and modeling different parts of the population based on the segments. The book starts by teaching you how to use Python libraries, such as pandas and Matplotlib, to read data from Python, manipulate it, and create plots, using both categorical and continuous variables. Then, you'll learn how to segment a population into groups and use different clustering techniques to evaluate customer segmentation. As you make your way through the chapters, you'll explore ways to evaluate and select the best segmentation approach, and go on to create a linear regression model on customer value data to predict lifetime value. In the concluding chapters, you'll gain an understanding of regression techniques and tools for evaluating regression models, and explore ways to predict customer choice using classification algorithms. Finally, you'll apply these techniques to create a churn model for modeling customer product choices. By the end of this book, you will be able to build your own marketing reporting and interactive dashboard solutions.
Table of Contents (12 chapters)
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Data Science for Marketing Analytics
Preface

Classification Problems


Classification problems are the most common type of machine learning problem. Classification tasks are different from regression tasks, in the sense that, in classification tasks, we predict a discrete class label, whereas in the case of regression, we predict continuous values. Another notable difference between classification problems and regression problems lies in the choice of performance metrics. With classification problems, accuracy is commonly chosen as a performance metric, while root mean square is quite common in the case of regression.

There are many important business use cases for classification problems where the dependent variable is not continuous, such as churn and fraud detection. In these cases, the response variable has only two values, that is, churn or not churn, and fraud or not fraud. For example, suppose we are studying whether a customer churns (y = 1) or doesn't churn (y = 0) after signing up for a mobile service contract. Then, the probability...

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