- To focus on which month has the most revenue in a given year.
- To deduce the most sold product based on the highest revenue in a month.
- Use of RFM(Recency-Frequency-Monetary) analysis technique to find out the best customers.
- Recency-Frequency-Monetary
- RFM analysis is a type of customer segmentation and behavioral targeting used to help businesses rank and segment customers based on the recency, frequency, and monetary value of a transaction.
- Here, recency - how long ago was their purchase(Number of days between recent date and recent date of each customer) frequency - how often they purchase(count(sales)) monetary - how much they spent(sum(sales))
- View Dataset.
- Microsoft SQL Server 2019 for data analysis - View SQL scripts
- 'Classic cars' was the most sold product in the month of November.
- Based on RFM analysis, customers were grouped into 'lost customers', 'slipping away, cannot lose', 'new customers', 'potential churners', 'active' and 'loyal'
- The best customers('active', 'loyal') are 15.