Customer Segmentation

Abstract

In today’s fast moving world of marketing, the management of customer treatment can be seen as a key to achieve revenue growth and profitability. One of the big challenges in customer-based organizations is customer cognition, understanding the difference between them, and scoring them. Business strategies have to be according to the solutions to the above mentioned challenges. In this paper we proposed a Customer Segmentation, which is one of the key aspects of the business decision support system and we are using K-means clustering algorithm which is a partitioning algorithm, to segment the customers according to the similar characteristics to determine the optimal clusters.