Solved – How to cluster products based on market basket data

association-rulesclustering

I need to cluster products based on market basket data, i.e. I have a data table with sold products and the respective orders and I want to cluster products so that products within a group are bought together quite frequently.

To my knowledge this is a task which relates to two topics, on the one hand association rule learning and on the other hand clustering. What I have done so far is to compute pairwise similarities based on the Jaccard coefficient and use a PAM approch to cluster the products.

Unfortunately the results are very poor in matters of the quality of the clustering solution. My question is therefore if the general approach seem plausible and only the results are poor or if I should use another approach? I would appreciate any idea.

Kind Regards,
Daniel

Best Answer

You can consider frequent itemsets to be a specific form of clustering designed for market basket data. On such data, it is much more meaningful than what you would get with a traditional partitioning algorithm like k-means. K-means needs to put every item into a cluster, and you need to know the number of clusters beforehand. Frequent itemset mining can handle that you may have items that are barely ever (or never) sold, and for which you do not have enough data to assign them in any meaningful way. That is why you use frequent itemset mining and not clustering.

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