Application of Data Mining in Customer Relationship Management

Abstract

With economic globalization and the rapid development of e-commerce, customer relationship management (CRM) has become the core of growth of the company. Data mining, as a powerful data analysis tool, extracts critical information supporting the company to make better decisions by processing a large number of data in commercial databases. This paper introduced the basic concepts of data mining and CRM, and described the process how to use data mining for CRM. At last, the paper described the applications of several main data mining methods in CRM, such as clustering, classification and association rule.