Target Australia Pty Ltd – Application of RFM analysis, Market Basket Analysis and Decision Tree Analysis

Case Brief

Target Australia Pty Ltd is part of the Wesfarmers Ltd group and is a mid-market department store renowned for delivering to its customers great quality and great value apparel and homewares. As one of Australia’s most successful retailers Target’s aim is to make stylish living affordable and available to all Australians. There are 290 Target and Target Country stores located across metropolitan and regional Australia. Target uses various forms of database marketing in its operations.

Q1. How could an organisation like Target use RFM analysis (Recently, Frequently, Money analysis)? What data will it need and how could it collect the data?

Q2. How could Target use Market Basket Analysis?

Q3. How could Target use Decision Tree Analysis?

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