How companies learn your secrets? New parents are a retailer s holy grail.

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1 Big Data in the retail industry Demonstration How companies use Big Data to grow their business Nicolas SAPIN & Faustine BOUSQUET Information Management Architect

2 How companies learn your secrets? New parents are a retailer s holy grail.

3 BI plateform provides accurate reports: Let s build a Big Data plateform for data exploration!

4 Marketing team needs to detect pregnant women The birth of a child is a life critical event. This event is a unique moment when parents can change their consumer habits. pregnancy detection The objective win the loyalty of the future mother for several years and enlarge the range of products bought by customers target the customer with appropriate vouchers The objective is given to the data scientist team to discover the pregnancy during the second quarter to achieve the business objectives. +50% revenue within 8 years, using Big Data to enhance product marketing strategy

5 Data scientists use the plateform to fix this business issue "MyCompany" records for each client: its purchase history + Personal informations Some rules that have been discovered: A greater amount of unscented lotion is purchased in the second quarter. During the first 20 weeks, pregnant women increase their purchases of food supplements (Ca, Mg, Zn). Many customers buy soap and coton balls but when a woman suddenly starts many unscented soap, sanitizer soap and washcloth, the date of birth could be close. 25 "indicator" products were identified, and thus allow to assign : a pregnancy score the delivery date in a small window The results : coupons sent on very specific stage, during pregnancy.

6 An example of the prediction based on this technic Ms Doe 23 years old from Atlanta 87% of chance being pregnant Due date predicted for the end of August.

7 What are the Pregnancy Detection Steps? Bought products data Customer personal data 1 Data produced for trend detection Directed coupons sent Data produced for pattern detection Pregnancy classiffication Pregnancy détection

8 Nicolas IOC What are the Pregnancy Detection Steps? Bought products data Customer personal data STEP 1 : Data manipulation 1 Data produced for trend detection Directed coupons sent Data produced for pattern detection Pregnancy classification Pregnancy détection

9 STEP 1 Data manipulation Extracted files from the Datawarehouse Purchase history of lotion by the customers number 240, 158, 46, 368, 61 and 89. Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

10 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day (count and sum of products bought on customer receipts) Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

11 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day (count and sum of products bought on customer receipts) Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

12 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day (count and sum of products bought on customer receipts) Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

13 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day (count and sum of products bought on customer receipts) Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

14 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day (count and sum of products bought on customer receipts) Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

15 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day (count and sum of products bought on customer receipts) Ms 240 Ms 158 Ms 46 Ms 368 Ms 61 Ms 89 days

16 STEP 1 Data manipulation Extracted files from the Datawarehouse Total purchases per day for all the women (pregnant and not pregnant) quantity Pregnant Not-pregnant days after pregnancy

17 STEP 1 Data manipulation Extracted files from the Datawarehouse Products list bought from pregnant women userid productid prodname date pregnant lotion 07/11/ lotion 22/07/ coton 25/11/ coton 25/12/ coton 27/01/ Known First day of pregnancy userid pregnancydate 2 20/12/ /6/ /6/ /3/2013. Pig transformations Count of products bought per day Days after pregnancy Pregnant Coton Lotion Supplements Dishwashing liquid Wine perfume blue carpet pregnancy test tampon big bag

18 What are the Pregnancy Detection Steps? STEP 2 : Data visualisation Bought products data Customer personal data 1 Data produced for trend detection Directed coupons sent Data produced for pattern detection Pregnancy classification Pregnancy détection

19 STEP 2 Data Visualization Load data in the data visualisation tool

20 Marion Cardinale, Nicolas IOC Example of trend:purchasing trends for pregnant women. Pick of pregnancy test during the first month quantity A pic of unscent lotion at the end of the first quarter no pattern on dishwashing liquid Pregnancy test Lotion Dishwashing liquid days after pregnancy

21 Example of trend:purchasing trends for pregnant women. number Counting discriminative words for the detection of pregnant women from social networks. days after pregnancy

22 What are the Pregnancy Detection Steps? Bought products data Customer personal data STEP 3 : Statistical modelisation 1 Data produced for trend detection Directed coupons sent Data produced for pattern detection Pregnancy classiffication Pregnancy détection

23 Data extract: Sample of the studied products bought during 4 months by a pregnant woman and a woman who is not pregnant Which woman is pregnant? uid prodid name day preg? wine wine perfume lotion wine cotton bluecarpet lotion lotion bigbag supplement cotton cotton bluecarpet 120 uid prodid name day preg? wine wine cotton wine lotion cotton cotton perfume wine dishwash perfume wine wine wine 105

24 STEP 3 Statistical modelisation Analyze data using Logistic regression with an IBM Data Mining software Objective of this model: detect if a woman is 4-months pregnant in a 4 months window

25 STEP 3 Statistical modelisation Results of this model: about 98% of good classification of the women.

26 What are the Pregnancy Detection Steps? Bought products data 1 Customer personal data STEP 4 & 5 : Detect, predict pregnant women & send coupons Data produced for trend detection Directed coupons sent Data produced for pattern detection Pregnancy classiffication Pregnancy détection

27 Software architecture SPSS MODELER IBM BIGINSIGHTS BigSheet BigSQL HADOOP

28 QUESTIONS: If you have any questions such as: What usefull information can I extract from my own data? How can I start my Big Data project? What architecture do I have to set up in order to work with my data? Please contact us: nicolas.sapin@fr.ibm.com

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