Understanding Customer Choices in Retail with Association Rule Learning
When we shop, we often buy things that go well together. For example, if you buy bread, you might also pick up some butter. This idea is what Association Rule Learning helps with, especially in retail. By looking at what customers usually buy together, we can find helpful patterns that can improve shopping experiences.
Finding Frequent Items: Tools like Apriori help find common pairs of items that people often buy together. For example, research showed that about 80% of all purchases include the items in the top 20% of popular pairs!
Understanding Customer Preferences: With association rules like {Bread} → {Butter}, we can see what customers like to buy together. Often, these rules show a strong connection, with over 60% of the time that if someone buys bread, they also buy butter.
Lift Metrics: Lift metrics tell us how strongly items are linked. If the lift ratio is 2, it means customers are buying these items together twice as often as we would expect by chance.
By understanding these buying patterns, retailers can create better promotions, manage stock more effectively, and encourage customers to buy more items together. This leads to more sales and happier customers!
Understanding Customer Choices in Retail with Association Rule Learning
When we shop, we often buy things that go well together. For example, if you buy bread, you might also pick up some butter. This idea is what Association Rule Learning helps with, especially in retail. By looking at what customers usually buy together, we can find helpful patterns that can improve shopping experiences.
Finding Frequent Items: Tools like Apriori help find common pairs of items that people often buy together. For example, research showed that about 80% of all purchases include the items in the top 20% of popular pairs!
Understanding Customer Preferences: With association rules like {Bread} → {Butter}, we can see what customers like to buy together. Often, these rules show a strong connection, with over 60% of the time that if someone buys bread, they also buy butter.
Lift Metrics: Lift metrics tell us how strongly items are linked. If the lift ratio is 2, it means customers are buying these items together twice as often as we would expect by chance.
By understanding these buying patterns, retailers can create better promotions, manage stock more effectively, and encourage customers to buy more items together. This leads to more sales and happier customers!