Deep Learning-Based Customer Segmentation for Targeted Marketing in E-Commerce Platforms
Abstract
The rapid growth of e-commerce platforms has generated massive volumes of customer transaction data, making intelligent customer segmentation essential for personalized marketing and customer relationship management. Traditional segmentation techniques often fail to capture complex and sequential purchasing behaviours, resulting in less effective marketing decisions. This paper presents a deep learning framework for consumer segmentation using the Online Retail dataset from the UCI Machine Learning Repository. The approach is built on Long Short-Term Memory (LSTM). The proposed methodology includes comprehensive data preprocessing, label encoding, RFM (Recency, Frequency, Monetary) feature engineering, Min-Max feature scaling, and supervised LSTM model training. The framework classifies customers into meaningful behavioural segments, including High-Value, Loyal, Potential, Occasional, and At-Risk customers, enabling businesses to implement targeted marketing strategies. The proposed model demonstrates excellent predictive performance, achieving 99.77% accuracy (ACC), 99.39% precision (PRE), 99.93% recall (REC), 99.66% F1-score (F1), and 99.94% ROC-AUC. Comparative analysis with existing customer segmentation approaches confirms the superiority of the proposed LSTM framework in learning customer purchasing patterns. The findings indicate that the proposed approach provides an effective and reliable solution for intelligent customer segmentation, personalized recommendations, and enhanced marketing decision-making in modern e-commerce platforms.
Keywords
References
Similar Articles
- Dr. Aarav Sharma, AI-Driven Hyper-Automation for Financial Workflows , International Journal of Modern Computer Science and IT Innovations: Vol. 3 No. 07 (2026): Volume 03 Issue 07
- Daniela Costa, Rafael Lima, Dynamic Deep Neural Network Partitioning For Low-Latency Edge-Assisted Video Analytics: A Learning-To-Partition Approach , International Journal of Modern Computer Science and IT Innovations: Vol. 2 No. 10 (2025): Volume 02 Issue 10
- Dr. Adrian K. Varela, Edge Intelligence-Driven Intrusion Detection for Internet of Things Networks in Next-Generation Communication Systems , International Journal of Modern Computer Science and IT Innovations: Vol. 3 No. 03 (2026): Volume03 Issue03
- Dr. Ahmed R. Mostafa, Prof. Mahmoud A. Taha, AFFORDABLE VISION-BASED SYSTEMS FOR REAL-TIME CHESSBOARD DIGITIZATION , International Journal of Modern Computer Science and IT Innovations: Vol. 2 No. 01 (2025): Volume 02 Issue 01
- Dr. Mateo Alvarez, SaaS-Driven Digital Transformation and Customer Retention in Hospitality Ecosystems: A Multitheoretical and Socio-Technical Reinterpretation of Service Value Creation , International Journal of Modern Computer Science and IT Innovations: Vol. 2 No. 12 (2025): Volume 02 Issue 12
- Eshmurodova Malikabonu, Odiljonov Ikromjon, Husanova Marjona, Mukhriddin Mukhiddinov, Data Science Approaches in The Education System and Their Pedagogical Significance , International Journal of Modern Computer Science and IT Innovations: Vol. 3 No. 05 (2026): Volume 03 Issue 05
- Dr. Andika Prasetyo, Siti Rahmawati, M.Sc., Rizky Maulana, Structured Teaching Framework Focused on Beginner-Level Software Development Skills , International Journal of Modern Computer Science and IT Innovations: Vol. 3 No. 04 (2026): Volume 03 Issue 04
- Dr. Oliver Bennett, Dr. Sophie Williams, Scalable Machine Learning Approach in R for Structural Classification and Behavioral Analysis of Massive Twitter Network Data , International Journal of Modern Computer Science and IT Innovations: Vol. 3 No. 06 (2026): Volume 03 Issue 06
- Dr. Rahul Mehta, Enhancing Credit Initiation Processes through Customer Relationship Platforms for Agricultural Enterprise Efficiency , International Journal of Modern Computer Science and IT Innovations: Vol. 2 No. 10 (2025): Volume 02 Issue 10
- Dr. Sofia Duarte, Jiwon Park, SECURING LARGE-SCALE IOT NETWORKS: A FEDERATED TRANSFER LEARNING APPROACH FOR REAL-TIME INTRUSION DETECTION , International Journal of Modern Computer Science and IT Innovations: Vol. 2 No. 06 (2025): Volume 02 Issue 06
You may also start an advanced similarity search for this article.