The "You are What You Eat" Customer Segmentation
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Use KNN to segment customer database in order to increase business understandibng.
In this project, I used the K Nearest Neighbors algorithm to understand how customers are shopping, and how lifestyle choices affect which food areas customers are shopping into.
Three main clusters emerged from the data - Cluster 0 accounted for 74% of the database, while Clusters 1 and 2 accounted for 15% and 12% respectively. Digging deeper into the data, Cluster 0 represented customers who did not have any particular dietary preference. Cluster 1 saw high proportions of spend allocated to Fruit and Vegetables - it could be hypothesized that these customers are following a vegan diet. Customers in Cluster 2 spent significant portions of their total spend in Dairy, Fruit and Vegetables, but very little in the Meat area - signifiying that they are likely of a vegetarian bent.