Segmentation and Clustering

Segmentation Fundamentals

Understand the difference between localization, standardization, and segmentation

Preparing Data for Clustering

Scale data to prepare a dataset for cluster modeling. Select variables to include based on the business context.

Variable Reduction

Use principal components analysis (PCA) to reduce the number of variables for cluster model

Clustering Models

Select the appropriate number of clusters. Build and apply a k-centroid cluster model.

Validating and Applying Clusters

Validate the results of a cluster model. Visualize and communicate the results of a cluster model.