AakritiKinra / Agglomerative-Hierarchical-clustering

Wholesale customer segmentation problem using agglomerative hierarchical clustering.

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Agglomerative Hierarchical Clustering

This technique is a bottom up approach in which each datapoint is considered to be an individual cluster. In each iteration the similar clusters merge with other clusters to form either one cluster or K clusters.

Working

We implement this technique on a wholesale customers database with the aim to segment the clients of a wholesale distributor on the basis of their annual spending on different product categories like milk, groceries etc.

  • Import the dataset
  • Use dendrogram to find the number of clusters

  • Fit agglomerative hierarchical clustering to the Wholesale Customers dataset
  • Visualization

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Wholesale customer segmentation problem using agglomerative hierarchical clustering.


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