ProductsAI & Analytics

Why You Need to Classify Your Customers

When you are trying to understand the behavior of your customers, initially you look at their history of interactions with your company, their attributes, their metrics, their scores, the marketing response ratio.

There are a lot of sources and data that you can use to increase your knowledge and use it to make things better and increase your sales and invest your marketing budget for a higher ROI.

So, you know from your list of customers who is the most profitable, the churner, the loyal, the perseverant, the annoying, the occasional buyer, etc. At the end of this descriptive process you get some sets of customers. But trying to find what defines a customer that belongs to those segments using all their attributes or interactions could be a herculean task. Things get worse if your intention is to apply this knowledge to classify new customers.

When you want to classify, the best option in this case is to rely this task on data mining techniques. There are several algorithms that could be used to classify objects using attributes like decision tree, logistic regression, Naïve-Bayes classifier (pictured below), neural networks and more.


And one classic best practice rule is that you need to compare distinct classifiers with your training data. This comparison will tell you which one of them does it better than the others. And with this calculated model, you can classify the set of objects. You can know who is likely to churn or who would love that product that needs to raise its sales.

Imagine doing that with millions of rows of data. It’s insane. Each iteration and algorithm takes a lot of time calculating each model, with all your data.

That’s where OpenText Big Data Analytics offers the best results. And we have recently extended the library of data mining classifier algorithms. OpenText Big Data Analytics 5.1 came with a Naïve Bayes classifier algorithm in its engine. This data mining classifier is one of the most simple of all its kind, but its simplicity doesn’t mean that it’s not powerful and trustful in certain cases. It depends on the data.

So, why don’t you get OpenText Big Data Analytics 5.1 downloaded in our 30 days free trial? You would be able to compare three classification algorithms, using millions of rows in a drag and drop experience.

You only need to decide what to classify.

What’s your business challenge?


Isidre Royo

Isidre Royo is a Product Manager of OpenText Analytics, specializing in Predictive Analytics and Big Data, based in Barcelona.

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