International Conference on Environmental Awareness for Sustainable Development in conjunction with International Conference on Challenge and Opportunities Sustainable Environmental Development, ICEASD & ICCOSED 2019, 1-2 April 2019, Kendari, Indonesia

Research Article

Customer Segmentation on Online Retail using RFM Analysis: Big Data Case of Bukku.id

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  • @INPROCEEDINGS{10.4108/eai.1-4-2019.2287279,
        author={Mohamad Abdul Kadir and Adrian  Achyar},
        title={Customer Segmentation on Online Retail using RFM Analysis: Big Data Case of Bukku.id},
        proceedings={International Conference on Environmental Awareness for Sustainable Development in conjunction with International Conference on Challenge and Opportunities Sustainable Environmental Development, ICEASD \& ICCOSED 2019, 1-2 April 2019, Kendari, Indonesia},
        publisher={EAI},
        proceedings_a={ICEASD\&ICCOSED},
        year={2019},
        month={9},
        keywords={customer segmentation big data rfm clustering location},
        doi={10.4108/eai.1-4-2019.2287279}
    }
    
  • Mohamad Abdul Kadir
    Adrian Achyar
    Year: 2019
    Customer Segmentation on Online Retail using RFM Analysis: Big Data Case of Bukku.id
    ICEASD&ICCOSED
    EAI
    DOI: 10.4108/eai.1-4-2019.2287279
Mohamad Abdul Kadir1,*, Adrian Achyar1
  • 1: Faculty of Economics and Business, Universitas Indonesia, Jl. Salemba 3, RW 5, Kenari, Senen, Kota Jakarta Pusat, DKI Jakarta 10430, Indonesia
*Contact email: adi@bukku.id

Abstract

The purpose of this research is to identify customer purchase behavior, form customer segmentation, and identify customer address of Bukku.id. this research uses customer purchase data of Bukku.co.id in the period 1 September 2017 – 17 September 2018. RFM method and clustering are used to identify customer segmentation. Then, pareto analysis results which publishers and authors need to be concerned for prioritizing effort in order to gain maximum benefit. Customer address or location has been mapped based on priority authors to determine promotion and offline marketing strategy. The results of this research show three customer cluster based on RFM and clustering analysis. Each cluster has different characteristic and it can determine which strategy suit to approach their customers. Customer profile based on authors and publisher could also benefit the company to prioritize any treatments relate to them. Better offline marketing strategy can be developed by knowing location analysis.