Customer-Spending-Score-Prediction

Predicting customer spending score would enable a business to know which customers spend more in their businesses and therefore direct their marketing strategies towards maintaining these customers and also coming up with strategies on how to improve the sales to clients with the lowest spending. In this paper, I take you through a step by step process of making these predictions using linear regression, a machine learning algorithm used to forecast events and to make prediction. Moreover, linear regression can be used to tell the impact of a feature on a label. A feature refers to the input we used to make the predictions, whereas, a label is what we are predicting. In this case our features are Age and Annual Income and the label is Customer Spending Score. We want to predict customers' spending score based on his/her age and annual income.