mtahiraslan / flo_cltv_prediction

FLO wants to determine roadmap for sales and marketing activities. In order for the company to make a medium long -term plan, it is necessary to estimate the potential value that existing customers will provide to the company in the future.

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CLTV Estimation with BG-NBD and Gamma-Gamma Model

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What is CLV?

Customer lifetime value (CLV) is a measure of the total income a business can expect to bring in from a typical customer for as long as that person or account remains a client.

When measuring CLV, it’s best to look at the total average revenue generated by a customer and the total average profit. Each provides important insights into how customers interact with your business and if your overall marketing plan is working as expected.

Business Problem

FLO wants to determine roadmap for sales and marketing activities. In order for the company to make a medium long -term plan, it is necessary to estimate the potential value that existing customers will provide to the company in the future.

Features of Dataset

  • Total Features : 12
  • Total Row : 19.945
  • CSV File Size : 2.7 MB

The story of the dataset

Dataset consists of information obtained from the past shopping behaviors of customers who make their latest shopping from FLO as Omnichannel (both online and offline shopping) in 2020 - 2021.

  • master_id: Unique customer number
  • order_channel: Which channel of the shopping platform used (Android, iOS, desktop, mobile)
  • last_order_channel: Channel where the last shopping was made
  • first_order_date: Customer's first shopping date
  • last_order_date: Customer's latest shopping date
  • last_order_date_online: Customer's latest shopping date on the online platform
  • last_order_date_offline: Customer's latest shopping date on offline platform
  • order_num_total_ever_online: Customer's total number of shopping on the online platform
  • order_num_total_ever_offline: Customer's total number of shopping on the offline platform
  • customer_value_total_ever_offline: Total fee paid by the customer in offline shopping
  • customer_value_total_ever_online: Total fee paid by the customer in online shopping
  • interested_in_categories_12: List of categories where the customer shopping in the last 12 months

Methods and libraries used in the project

  • pandas, numpy, datetime, lifetimes, scikit-mlm
  • Segmentation and forecasting
  • RFM

Requirements.txt

  • Please review the 'requirements.txt' file for required libraries.

About

FLO wants to determine roadmap for sales and marketing activities. In order for the company to make a medium long -term plan, it is necessary to estimate the potential value that existing customers will provide to the company in the future.

License:MIT License


Languages

Language:Python 100.0%