A Unified Linear Market Value Function Model for Multi-aspect Analysis in Targeted Marketing

Authors: Jiajin Huang, Y.Y. Yao, Ning Zhong, Chunnian Liu

Targeted marketing aims at indentify customers or products having potential market values. This paper proposes a unified linear market value function model for multi-aspect analysis in targeted marketing. On the one hand, the model uses a linear market value function, which is a linear combination of utility functions on customer or product attribute values, to rank customers or products when only customer or product attributes are available. On the other hand, the model uses a bilinear market value function to rank customers or products when both customer and product attributes are available. The gradient descent method are employed to estimate the above market value functions. Experimental results on a real-world data set show the effectiveness of the proposed model.