Forecast Customer's Upcoming Purchase

Requirements Clarification & Assessment

1. Objective:

   • Forecast the timing of a customer's next purchase to enhance marketing strategies, inventory management, and customer relationship management.

2. Data Requirements:

   • Transaction History: Dates of past purchases, amounts, and customer demographics.
   • Customer Segmentation Data: Recency, frequency, and monetary value (RFM) scores.
   • External Factors: Seasonality trends, market competition, and economic indicators.

3. Business Context:

   • Understanding the business model, customer behavior patterns, and industry-specific factors that influence purchasing decisions.

4. Technical Constraints:

   • Access to historical data.
   • Computational resources for model training and deployment.
   • Integration capabilities with existing CRM systems.

5. Performance Metrics:

   • Prediction accuracy (e.g., Mean Absolute Error for time predictions).
   • Precision and recall for classification tasks.
   • Business impact metrics like increased sales or improved inventory turnover.