Customer segment prognostic system by machine learning using principal component and linear discriminant analysis

Abstract

Recently, manufacturing industry faces lots of problem in predicting the customer behavior and group for matching their outcome with the profit. The organizations are finding difficult in identifying the customer behavior for the purpose of predicting the product design so as to increase the profit. The prediction of customer group is a challenging task for all the organization due to the current growing entrepreneurs. This results in using the machine learning algorithms to cluster the customer group for predicting the demand of the customers. This helps in decision making process of manufacturing the products. This paper attempts to predict the customer group for the wine data set extracted from UCI Machine Learning repository. The wine data set is subjected to dimensionality reduction with principal component analysis and linear discriminant analysis. A Performance analysis is done with various classification algorithms and comparative study is done with the performance metric such as accuracy, precision, recall, and f-score. Experimental results shows that after applying dimensionality reduction, the 2 component LDA reduced wine data set with the kernel SVM, Random Forest classifier is found to be effective with the accuracy of 100% compared to other classifiers.