Analysis of Purchasing Power Data of Department Store Members and Design of Effective Management Model

Abstract

AbstractThis paper focuses on the consumption situation and discounting strategies of members in large department stores. On this basis, reasonable strategies and suggestions for discounting activities in department stores are proposed. It needs to determine the consumption habits of members, customer value, life cycle, discount effect and other information. The mathematical model was established to calculate the activation rate of non-active members in the life cycle of members, that is, the possibility of transforming from inactive members to active members. Based on the actual sales data, the relationship model between the activation rate and shopping mall promotion was determined. Generally speaking, the higher the commodity price is, the higher the profit will be. IA regression model of activation rate and promotion activities is developed. The appraisal index of market promotion activities is established in terms of both discounts and integral. Lasso regression is used for variable screening, and the correlation between activation rate and the above indicators is studied.