Predictive Analytics in Commerce

Chapters 4 › Unit 4: Data preparation / Wrap up View instructions Hide instructions

Data preparation / Wrap up

Follow the same steps as Nienke did to prepare your dataset. Can you name all the steps you should undertake to prepare your data?

Data Preparation Steps

  1. Import dataset.
  2. Inspect variable names and structure of the variables.
  3. Create dummy variables for factor variables and add these to dataset.
  4. Check for missing data and determine how to deal with it (for example by adding dummy variables for missing data).
  5. Select the relevant part of the data (only active customers in this case).
  6. Split the dataset into a train- and validation set (70-30 ratio).

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