Market Basket Analysis (MBA)

MBA helps to understand what items are likely to be purchased together (association rules) with the aim to identify cross-selling opportunities.

Example: Supermarket

• Shopping cart (= a market basket), point-of-sale scanner produces transaction data.
  With this information alone, the supermarket can already improve shelfing.

• If the customer is member of the supermarket's 'Value Club' (using e.g. the ATM Card), the supermarket also has demographic information for data mining.

Famous Example: Young fathers buy diapers and six packs of beer Thursdays nights.

Index: Contents