Customer data prediction and analysis in e-commerce using machine learning

Abstract

Customer churn is a major challenge faced by e-commerce companies, as it leads to loss of revenue and decreased customer loyalty. In recent years, for predicting and reducing client churn machine learning techniques are powerful tools. This research aims to explore the use of machine learning algorithms for predicting customer churn, annual spending, and product on-time delivery in e-commerce. The study first conducted a comprehensive review of the literature on customer churn in machine learning. The literature showed that customer churn has been predicted successfully using a variety of machine learning algorithms, including support vector machine (SVM), random forest, and decision tree in various industries. To address this gap in the literature, the study conducted an empirical analysis of customer churn in e-commerce using machine learning algorithms. The data were then pre-processed and analyzed utilizing machine learning techniques for prediction. According to the study’s findings, machine learning algorithms are effective in predicting customer churn, and product on-time delivery in e-commerce. The best-performing algorithm SVM achieved an accuracy of 83.45% in predicting customer churn and 68.42% for product on-time delivery prediction.