Data Mining Techniques by Michael J.A. Berry Summary

Data Mining Techniques is a comprehensive guide to applying data mining methods to solve real-world business challenges like customer segmentation, marketing optimization, and risk assessment. The third edition emphasizes practical implementation, covering core techniques such as decision trees, neural networks, clustering, and survival analysis, alongside newer methods like incremental response modeling and swarm intelligence. It bridges statistical theory and business strategy, with case studies and Excel-based examples.

This book is ideal for marketing analysts, data scientists, and business managers seeking to leverage data mining for actionable insights. It’s particularly valuable for professionals involved in customer relationship management, direct marketing, or credit risk modeling. Beginners benefit from its clear explanations, while experts gain advanced strategies for model stability and infrastructure design.

Yes—the third edition expands on earlier versions with 50% new content, including modern techniques like uplift modeling, text mining, and principal component analysis. Updates on data preparation, variable selection, and derived variables make it a critical resource for adapting to evolving business analytics needs.

Key methods include:

• Directed techniques: Decision trees, logistic regression, neural networks.
• Undirected techniques: Clustering, association rules, link analysis.
• Advanced topics: Survival analysis, genetic algorithms, and swarm intelligence.
  Each chapter focuses on a specific technique, paired with real-world applications like campaign response prediction.

This edition adds in-depth coverage of linear/logistic regression, expectation-maximization (EM) clustering, naïve Bayesian models, and text mining. It also prioritizes practical guidance on building stable predictive models and creating data mining infrastructure within organizations.

Absolutely. The book provides frameworks for optimizing direct marketing response rates, identifying high-value customer segments, and personalizing messaging. Techniques like memory-based reasoning and collaborative filtering are tailored for marketing analytics.

No—complex concepts are explained in accessible language with minimal mathematical formulas. Introductory chapters cover statistical fundamentals, making it suitable for non-experts. Case studies and Excel examples further simplify implementation.

Also called uplift modeling, this technique identifies customers most likely to respond to specific interventions (e.g., promotions). The book explains how to apply it to maximize campaign ROI while avoiding wasted resources.

A dedicated chapter outlines best practices for cleaning, transforming, and selecting variables. It emphasizes creating robust “customer signatures” for accurate modeling and discusses tools for handling missing data.

Some reviewers note the book focuses less on software tools, requiring readers to adapt methods to their preferred platforms. However, its methodology-first approach ensures timeless relevance.

Yes. A new chapter on text mining demonstrates extracting insights from unstructured sources like customer feedback or social media, using methods such as topic modeling and sentiment analysis.

Unlike purely theoretical texts, this book emphasizes business outcomes, blending statistical rigor with actionable strategies. It complements technical guides by focusing on end-to-end process design, from data warehousing to model deployment.