Journal of the Korean Operations Research and Management Science Society (한국경영과학회지)

The Korean Operations Research and Management Science Society (한국경영과학회)
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Product Network Analysis to Analyze the Purchase Behavior of Customers

제품 네트워크 분석을 이용한 고객의 구매제품 특성 비교 연구

  • 최일영 (경희대학교 경영대학/경영연구원) ;
  • 김재경 (경희대학교 경영대학/경영연구원)
  • Published : 2009.12.31
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Abstract

As development of information technologies, customer retention has been an important issue in the competing environment. A lot of researches focus on prediction of the churning customers and seeking their characteristics. However, relationships among customers or products have not been considered in existing researches. In this study, product networks are proposed and analyzed to investigate the differences of network characteristics of products purchased by potential churning customers and those of loyal customers. The product networks are constructed from real product purchase data collected from a Korean department store. We investigated the characteristic differences, such as the degree centrality, degree centralization, and density, of two product networks constructed by potential churning customers and the loyal customers. The results indicate that degree centrality, density and degree centralization of the product network of the loyal customers are higher than those of the potential churning customers. And the promotional products of the department store are resulted to be effective in attracting the loyal customers.

Keywords

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