Customer Analytics in Python
Customer Analytics in Python is where marketing and data science meet. Data science and Marketing are two of the key driving forces that help companies create value and stay on top in today’s fast-paced economy. This course is packed with knowledge, and includes sections on customer and purchase analytics, as well as a deep-learning model, all implemented in Python.
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6 exercises
3 assignments
0 quizzes
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Section 1
A Brief Marketing Introduction
In this course you’ll get to learn theory, as well as acquire practical skills, applicable to a variety of customer analytics areas. You’ll get to meet your instructors and learn about the topics we’ll discuss during the course. This is the place where we’ll discuss the marketing fundamentals, such as the STP framework and Marketing Mix. They will provide us with motivation why we take advantage of certain models in the following sections of the course.
Meet your instructors Segmentation, Targeting, Positioning Marketing Mix Physical and Online Retailers: Similarities and Differences Price Elasticity Section 2
Setting up the environment
We will show you how to install the Jupyter Notebook (the environment we will use to code in Python) and how to import the relevant libraries. Because this course is based in Python, we will be working with several popular packages – NumPy, SciPy and scikit-learn.
Setting up the environment - Do not skip, please! Why Python and Why Jupyter Installing Anaconda Jupyter Dashboard - Part 1 Jupyter Dashboard - Part 2 Installing the sklearn package Section 3
Segmentation Data
We will begin with customer analytics which is a major part of the course. We will perform some initial exploration of our segmentation data set. Using Python, we’ll visualize our data and standardize it, to aid in future analysis.
Getting to know the Segmentation Dataset Importing and Exploring Segmentation Data Standardizing Segmentation Data Section 4
Hierarchical Clustering
Here, we discuss the theory behind hierarchical and flat clustering. Throughout the course we’ll implement both approaches. In this section, we’ll focus on hierarchical clustering and use it to determine the number of clusters in our data set.
Hierarchical Clustering: Background Hierarchical Clustering: Implementation and Results Section 5
K-means Clustering
We continue with segmentation, this time focusing on a flat clustering technique, namely K-means. We’ll divide our customers into clusters using K-means and determine the customer segments. This is a crucial part of the customer analysis, as it is where we discover the most important characteristics, which define our customer groups.
K-Means Clustering: Background K-Means Clustering: Implementation K-Means Clustering: Results Section 6
K-means Clustering based on Principal Components Analysis
In our final section of customer analytics, we’ll introduce a dimensionality reduction algorithm: Principal Components Analysis (PCA). We’ll combine K-means and PCA to obtain even better clustering results and gain insight about our customers. In addition, we’ll perform the model deployment which we’ll need in the following sections of our course.
Principal Component Analysis: Background Principal Component Analysis: Application Principal Component Analysis: Results K-Means Clustering with Principal Components: Application K-Means Clustering with Principal Components: Results Saving the Models Section 7
Purchase Data
It’s time for purchase analytics. This is the second major part of the course. We’ll examine our purchase data set and see similarities and difference with the segmentation data. We’ll analyse and preprocess our data and ultimately segment the purchase customers into groups.
Purchase Analytics - Introduction Getting to know the Purchase Dataset Importing and Exploring Purchase Data Applying the Segmentation Model Section 8
Descriptive Analyses by Segments
We’ll analyse our customers by filtering our data by brand and segment and we’ll visualize the findings. In addition, we’ll compute the revenues by brand and total revenues for each segment. Through the descriptive analysis, we will form our hypotheses about our segments, thus ultimately setting the ground for the subsequent modeling.
Segment Proportions Purchase Occasion and Purchase Incidence Brand Choice Dissecting the Revenue by Segment Section 9
Purchase Incidence Model
We’re ready to create our first prediction model. We’ll use logistic regression and model purchase probability of our clients. We’ll compute the price elasticity of purchase probability and use it to gain insight into our average customers, as well as each of our customer segments. Furthermore, we’ll explore the effects of promotion on our clients purchase behaviour.
The Model: Binomial Logistic Regression Prepare the Dataset for Logistic Regression Model Estimation Calculating Price Elasticity of Purchase Probability Price Elasticity of Purchase Probability: Results Purchase Probability by Segments Purchase Probability Model with Promotion Calculating Price Elasticities with Promotion Comparing Price Elasticities with and without Promotion Section 10
Brand Choice Model
Our goal is to understand the brand preferences of our clients. We’ll imagine we work for one of the brands and create marketing strategies for targeting customers and attracting them to our own brand. We’ll compute price elasticity of brand choice for our brand, as well as calculate cross price elasticities for a competitor brand to try and stay ahead of the competition.
Brand Choice Models. The Model: Multinomial Logistic Regression Prepare Data and Fit the Model Interpreting the Coefficients Own Price Brand Choice Elasticity Cross Price Brand Choice Elasticity Own and Cross-Price Elasticity by Segment Own and Cross-Price Elasticity by Segment - Comparison Section 11
Purchase Quantity Model
We conclude the purchase analytics part of the course with a model for purchase quantity. Here we’ll use linear regression to determine how many units of our product the customer likes to buy. We’ll examine the effects of promotion on purchase quantity and determine price elasticity of demand.
Purchase Quantity Models. The Model: Linear Regression Preparing the Data and Fitting the Model Calculating Price Elasticity of Purchase Quantity Price Elasticity of Purchase Quantity: Results Section 12
Deep Learning for Conversion Prediction
Machine learning and artificial intelligence are at the forefront of the data science revolution. We will take advantage of the TensorFlow 2.0 framework to create a feedforward neural network. This is the part where we will build a black-box model, essentially helping us reach 90%+ accuracy in our predictions about the future behavior of our customers.
Introduction to Deep Learning for Customer Analytics Exploring the Dataset How Are We Going to Tackle the Business Case Why do We Need to Balance a Dataset Preprocessing the Data for Deep Learning Outlining the Deep Learning Model Training the Deep Learning Model Testing the Model Obtaining the Probability of a Customer to Convert Saving the Model and Preparing for Deployment Predicting on New Data Advanced Specialization
This course is part of Module 4 of the 365 Data Science Program. The complete training consists of four modules, each building up on your knowledge from the previous one. Module 4 is focused on developing a specialized industry-relevant skillset and students are encouraged to complete Modules 1, 2, and 3 before they start this part of the training. Here you will learn how to perform Credit Risk Modeling for banks, Customer Analytics for retail or other commercial companies, and Time Series Analysis for finance and stock data.
See All Modules Why Choose the 365 Data Science Program?
Practice
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The course is in-depth and is delivered at a steady pace with eye catching visuals. The instructors go through all the basics really well. They try not to over-simplify the material, you get a good sense аof how deep Data Science is in the course. Great job!!!
This course is amazing! After watching the video carefully and doing all the exercises, I am even capable of having discussions with Machine learning major Master’s students! High standard course with reasonable pricing.
Very clear and in-depth explanation of data science and how all the inter-related concepts apply in real life business environment. Absolutely great for beginners! Best data science course I have come across so far!
I would highly recommend the course to any beginner who wants to venture into the world of Data Science. The concepts are very well explained and there is an emphasis on practical application which really helps create a better understanding of the concepts.
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