Executive Summary
Executive summary of customer characteristics and spending patterns
Analysis of 2000 customers reveals average age of 55.2 with median annual income of $52,140. Total spending averaged $609.20 with significant variation across customers. Campaign response rate was 15.0%, with customers accepting an average of 0.45 offers. These segments offer distinct targeting opportunities based on demographics and spending patterns.
Analysis Overview
Overview of the analysis and data represented
Data Quality & Processing
Data quality and preprocessing information
Demographic Summary Statistics
Customer counts, age, income, and spending vary significantly by education and marital status
| Education Level | Marital Status | Avg Age | Avg Income | N Customers | Avg Total Spending | Avg Campaign Acceptance |
|---|---|---|---|---|---|---|
| Master | Widow | 70.3 | 58402 | 11 | 817.5 | 1.09 |
| PhD | Widow | 67.8 | 58944 | 22 | 771.8 | 0.59 |
| Master | Single | 53.4 | 52678 | 66 | 712.5 | 0.5 |
| PhD | Married | 56.5 | 57111 | 179 | 695.4 | 0.5 |
| Graduation | Widow | 61.2 | 54712 | 30 | 688.1 | 0.5 |
| Graduation | Together | 55.7 | 54042 | 255 | 682.3 | 0.45 |
| 2n Cycle | Divorced | 59.3 | 49345 | 20 | 654.1 | 0.5 |
| PhD | Divorced | 59.8 | 52931 | 49 | 644.5 | 0.71 |
| PhD | Together | 58.7 | 55699 | 108 | 638 | 0.43 |
| Master | Alone | 66 | 61331 | 1 | 632 | 0 |
| Graduation | Divorced | 56.9 | 55697 | 104 | 628.7 | 0.51 |
| PhD | Single | 56.4 | 53624 | 94 | 626.9 | 0.63 |
| Graduation | Single | 51.8 | 51511 | 225 | 619 | 0.5 |
| Graduation | Married | 53.6 | 51046 | 377 | 599.3 | 0.4 |
| Master | Married | 56.9 | 53595 | 124 | 587.5 | 0.44 |
| Master | Together | 58.6 | 52609 | 93 | 569.4 | 0.33 |
| Master | Divorced | 55.9 | 49919 | 32 | 553 | 0.22 |
| 2n Cycle | Single | 50.9 | 52904 | 36 | 514.2 | 0.44 |
| 2n Cycle | Together | 50.9 | 46511 | 53 | 496.5 | 0.23 |
| 2n Cycle | Widow | 62 | 45526 | 4 | 455.2 | 0 |
| 2n Cycle | Married | 50.5 | 45455 | 72 | 407.4 | 0.35 |
| Basic | Married | 45.7 | 21928 | 15 | 89.13 | 0.13 |
| Graduation | Alone | 36 | 34176 | 1 | 89 | 0 |
| Basic | Together | 52.5 | 21671 | 12 | 60.08 | 0.5 |
| Basic | Single | 41.9 | 18025 | 15 | 55.67 | 0 |
| PhD | Alone | 51 | 35860 | 1 | 49 | 2 |
| Basic | Divorced | 48 | 9548 | 1 | 29 | 0 |
Across 27 demographic segments, average age ranges from 36.0 to 70.3 years. Average total spending ranges from $29 to $818. Higher education and coupled marital statuses show higher average spending patterns. Campaign acceptance varies from 0.00 to 2.00 offers per customer across demographic groups.
Customer Age Distribution
Distribution of customer ages reveals age concentration and outlier patterns
Customer ages range from 28 to 131 years. The mean age is 55.2 years (median 54.0), with standard deviation of 12.0 years. The distribution shows tight spread, with most customers concentrated in specific age cohorts relevant for lifecycle marketing targeting.
Customer Income Distribution
Income distribution shows customer purchasing power, with ~26% missing values
Among 1983 customers with income data (0.8% missing), mean annual income is $52,140 with median $51,518. The distribution shows relatively balanced income levels, suggesting similar customer segments for premium vs. value positioning.
Total Spending Distribution
Concentration of customer spending reveals whale customers and spending variance
Mean spending is $609.20 (median $397.00). The 75th percentile is $1047.25 and 95th percentile is $1779.15, indicating significant whale customers. The right-skewed distribution suggests segmentation opportunities between volume and value customers.
Average Spending by Education Level
Spending varies by education attainment
Average spending by education level ranges from $67.95 to $664.29. PhD customers spend the most at $664.29 on average. The substantial (>50%) difference in spending between highest and lowest education groups suggests targeted product positioning opportunities.
Average Spending by Marital Status
Marital status groups show distinct spending patterns
Average spending by marital status ranges from $256.67 to $722.96. Widow customers spend the most at $722.96 on average. Household composition differences by marital status drive substantial variation in total spending patterns.
Product Category Spending Profile
Average spending by product category reveals purchasing priorities
Wine is the highest-spending category at $306.06 average per customer. Top 3 categories account for the majority of spending, suggesting focus areas for inventory and marketing. The category distribution reflects customer preference patterns and premium product affinity.
Income vs Total Spending Relationship
Relationship between customer income and total spending, colored by marital status
The correlation between annual income and total spending is 0.795, indicating a strong relationship. Customers with higher incomes tend to spend substantially more, with marital status showing distinct patterns. This suggests income and household composition both drive spending behavior.
Product Category Spending Correlations
Correlation matrix shows which product categories are purchased together
Strong correlations (max 0.581) between certain product categories indicate bundled purchasing patterns. Customers who spend on premium categories like Wine and Meat tend to spend on complementary categories, suggesting cross-sell and bundle opportunities.
Top 10 Customers by Total Spending
Profile of highest-value customers and their characteristics
| Rank | Customer ID | Age | Income | Education | Total Spending | Campaigns Accepted |
|---|---|---|---|---|---|---|
| 1 | 5735 | 33 | 90638 | Master | 2525 | 1 |
| 2 | 5350 | 33 | 90638 | Master | 2525 | 2 |
| 3 | 1763 | 36 | 87679 | Graduation | 2524 | 4 |
| 4 | 4580 | 55 | 75759 | Graduation | 2486 | 4 |
| 5 | 4475 | 75 | 69098 | PhD | 2440 | 0 |
| 6 | 5453 | 68 | 90226 | Master | 2352 | 1 |
| 7 | 10133 | 54 | 93790 | Graduation | 2349 | 4 |
| 8 | 9010 | 52 | 83151 | Master | 2346 | 4 |
| 9 | 5386 | 71 | 94384 | Graduation | 2302 | 4 |
| 10 | 6024 | 71 | 94384 | Graduation | 2302 | 4 |
The top 10 customers spend $2415.10 on average, 4.0 times the overall average of $609.20. These customers tend to have specific education and demographic profiles. Targeted retention and upsell strategies for this group can significantly impact revenue.