B.3. Communication/Networking and Information Technology
V. Babaiyan; Seyyede A. Sarfarazi
Abstract
Telecommunication Companies use data mining techniques to maintain good relationships with their existing customers and attract new customers and identifying profitable/unprofitable customers. Clustering leads to better understanding of customer and its results can be used to definition and decision-making ...
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Telecommunication Companies use data mining techniques to maintain good relationships with their existing customers and attract new customers and identifying profitable/unprofitable customers. Clustering leads to better understanding of customer and its results can be used to definition and decision-making for promotional schemes. In this study, we used the 999-customer purchase records in South Khorasan Telecommunication Company which has been collected during a year. The purpose of this study is to classify customers into several clusters. Since the clusters and the number of their members are determined, high-consumption users will be logged out of the system and high-value customers who are missed will be identified. In this research we divided our customers into five categories: loyal, potential, new, missed and high-consumption by using the Clementine software, developing the RFM model to the LRFM model and TwoStep and k_Means algorithms. Thus, this category will be a good benchmark for company's future decisions and we can make better decisions for each group of customers in the future.