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Discovering Temporal Purchase Patterns with Different Responses to Promotions

Published: 24 October 2016 Publication History

Abstract

The supermarkets often use sales promotions to attract customers and create brand loyalty. They would often like to know if their promotions are effective for various customers, so that better timing and more suitable rate can be planned in the future. Given a transaction data set collected by an Australian national supermarket chain, in this paper we conduct a case study aimed at discovering customers' long-term purchase patterns, which may be induced by preference changes, as well as short-term purchase patterns, which may be induced by promotions. Since purchase events of individual customers may be too sparse to model, we propose to discover a number of latent purchase patterns from the data. The latent purchase patterns are modeled via a mixture of non-homogeneous Poisson processes where each Poisson intensity function is composed by long-term and short-term components. Through the case study, 1) we validate that our model can accurately estimate the occurrences of purchase events; 2) we discover easy-to-interpret long-term gradual changes and short-term periodic changes in different customer groups; 3) we identify the customers who are receptive to promotions through the correlation between behavior patterns and the promotions, which is particularly worthwhile for target marketing.

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Cited By

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  • (2022)Considering temporal aspects in recommender systems: a surveyUser Modeling and User-Adapted Interaction10.1007/s11257-022-09335-w33:1(81-119)Online publication date: 4-Jul-2022
  • (2022)Dynamic customer segmentation via hierarchical fragmentation-coagulation processesMachine Learning10.1007/s10994-022-06276-8112:1(281-310)Online publication date: 2-Dec-2022
  • (2021)QeNoBi: A System for QuErying and mining BehavIoral Patterns2021 IEEE 37th International Conference on Data Engineering (ICDE)10.1109/ICDE51399.2021.00301(2673-2676)Online publication date: Apr-2021
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cover image ACM Conferences
CIKM '16: Proceedings of the 25th ACM International on Conference on Information and Knowledge Management
October 2016
2566 pages
ISBN:9781450340731
DOI:10.1145/2983323
Permission to make digital or hard copies of all or part of this work for personal or classroom use is granted without fee provided that copies are not made or distributed for profit or commercial advantage and that copies bear this notice and the full citation on the first page. Copyrights for components of this work owned by others than ACM must be honored. Abstracting with credit is permitted. To copy otherwise, or republish, to post on servers or to redistribute to lists, requires prior specific permission and/or a fee. Request permissions from [email protected]

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Publication History

Published: 24 October 2016

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Author Tags

  1. customer behaviors
  2. customer segmentation
  3. mixture modeling
  4. non-homogeneous poisson process
  5. temporal modeling

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CIKM'16
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CIKM'16: ACM Conference on Information and Knowledge Management
October 24 - 28, 2016
Indiana, Indianapolis, USA

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CIKM '16 Paper Acceptance Rate 160 of 701 submissions, 23%;
Overall Acceptance Rate 1,861 of 8,427 submissions, 22%

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Cited By

View all
  • (2022)Considering temporal aspects in recommender systems: a surveyUser Modeling and User-Adapted Interaction10.1007/s11257-022-09335-w33:1(81-119)Online publication date: 4-Jul-2022
  • (2022)Dynamic customer segmentation via hierarchical fragmentation-coagulation processesMachine Learning10.1007/s10994-022-06276-8112:1(281-310)Online publication date: 2-Dec-2022
  • (2021)QeNoBi: A System for QuErying and mining BehavIoral Patterns2021 IEEE 37th International Conference on Data Engineering (ICDE)10.1109/ICDE51399.2021.00301(2673-2676)Online publication date: Apr-2021
  • (2021)A Clustering-Prediction Pipeline for Customer Churn AnalysisKnowledge Science, Engineering and Management10.1007/978-3-030-82153-1_7(75-84)Online publication date: 7-Aug-2021
  • (2020)From Anticipation to Action: Data Reveal Mobile Shopping Patterns During a Yearly Mega Sale Event in ChinaIEEE Transactions on Knowledge and Data Engineering10.1109/TKDE.2020.3001558(1-1)Online publication date: 2020
  • (2020)Simultaneous Customer Segmentation and Behavior DiscoveryNeural Information Processing10.1007/978-3-030-63820-7_14(122-130)Online publication date: 17-Nov-2020
  • (2020)FCP Filter: A Dynamic Clustering-Prediction Framework for Customer BehaviorAdvances in Knowledge Discovery and Data Mining10.1007/978-3-030-47426-3_45(580-591)Online publication date: 6-May-2020
  • (2019)Tracking the Evolution of Customer SegmentationsTemporal Modelling of Customer Behaviour10.1007/978-3-030-18289-2_7(95-117)Online publication date: 28-Apr-2019
  • (2019)IntroductionTemporal Modelling of Customer Behaviour10.1007/978-3-030-18289-2_1(1-6)Online publication date: 28-Apr-2019
  • (2018)Discovering temporal regularities in retail customers’ shopping behaviorEPJ Data Science10.1140/epjds/s13688-018-0133-07:1Online publication date: 6-Mar-2018
  • Show More Cited By

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