Customer Segmentation with Clustering Algorithms

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Introduction to Clustering

Four types of Clustering algorithms:

1. Partitioning Methods

2. Hierarchical Methods

3. Density-Based Methods

4. Expectation Maximisation (EM) clustering:

1.1 K-Means Clustering

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Advantage of using K-means

Disadvantage of using K-Means

1.2 K-Medians Clustering

Advantage of using K-Medians

Disadvantage of using K-Medians

2.1 Agglomerative Hierarchical clustering

Images by Michael W. Brady

Advantage of using Hierarchical Clustering

Disadvantage of using Hierarchical Clustering

3.1 Density-Based Clustering

DBScan

Images by Michael W. Brady

Advantage of using DBScan

Disadvantage of using DBScan

4.1 Gaussian Mixture Model (GMM) Clustering

Images by Michael W. Brady

Advantage of using GMM

Disadvantage of using GMM

Data Scientist at IBM Sweden

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