Machine learning Model for predicting product purchase - machine-learning

I have this use case and want to build a ML model around it.
Based on the purchase history,I have to predict whether user will buy a product or not.
A product has these attributes:
ItemCategory: eg: Shoes, Accessories,Jewellery
Color: eg: Black,Red
PriceBucket: eg: 500-1000,1000-1500
User has some % liking for each color,priceBucket,Itemcategory
eg: user u1 likes black 30%, red 20%, shoes 10%.
This % likings are calculated based on purchase history of the user.
Now suppose we match user u1's profile across all products, we have to predict whether user will buy that product or not.
ItemCategory PriceBucket Color Buy
item1 30% 20% 10% 1
item2 20% 15% 30% 0
item3 10% 50% 40% 1
Buy 1/0 denotes whether user has actually bought this item or not.
I have tried with tensorFlow's LinearClassifier but getting very low accuracy.
Please suggest what model can be used here.

Reasons for lower accuracy is many.
I would suggest you to do some pre-processing steps before feeding in data into linear regressor model.
Since you just have only 3 dimensions/features in your data, you cannot get much information from it. It is very highly likely that your model get over-fit/underfit to any one feature among these three categories. Try adding more features if you have, or else increase number of training sample but still achieving decent result is very low because of low dimensionality.
Try and do some experiment with some other ensemble models like Decision Tree Classifier,Gaussian Naive Bayes, Gradient Boosting Classifier, SVM, Random forest,K-nearest-neighbors and perform cross validation to evaluate the performance of each classifiers.

One of the reasons for low accuracy could be having an imbalanced dataset, i.e. the ratio of buy values (0,1) is greater than 2. If this is the case, use simple techniques such as under-sampling and then try different classification models on it. In your case, random forest probably will do a good job; play around with the parameters to avoid under/over fitting.

Related

How to estimate the accuracy on a large dataset?

Given that I have a deep learning model(handover from former colleague). For some reason, the train/dev set was missing.
In my situation, I want to classify my dataset into 100 categories. The dataset is extremely imbalanced. The dataset size is about tens of millions
First of all, I run the model and got the prediction on the whole dataset.
Then, I sample 100 records per category(according to the prediction) and got a 10,000 test set.
Next, I labeled the ground truth of each record for the test set and calculate the precision, recall, f1 for each category and got F1-micro and F1-macro.
How to estimate the accuracy or other metrics on the whole dataset? Is it correct that I use the weighted sum of each category's precision(the weight is the proportion of prediction on the whole) to estimate?
Since the distribution of prediction category is not same as the distribution of real category, I guess the weighted approach does not work. Any one can explain it?
The issue if you take a weighted average is that if your classifier performs well on the majority class, but poorly on minority classes (which is the typical scenario), it will not be reflected in the score.
One of the recommended approaches is rather to use the balanced accuracy score (see here for the scikit learn implementation). Basically, it is an average of all recall scores: for each observation in a class, it looks at how many of were correctly classified, and averages this across all classes. This will give you a sensible overall score to report.

Classification of Stock Prices Based on Probabilities

I'm trying to build a classifier to predict stock prices. I generated extra features using some of the well-known technical indicators and feed these values, as well as values at past points to the machine learning algorithm. I have about 45k samples, each representing an hour of ohlcv data.
The problem is actually a 3-class classification problem: with buy, sell and hold signals. I've built these 3 classes as my targets based on the (%) change at each time point. That is: I've classified only the largest positive (%) changes as buy signals, the opposite for sell signals and the rest as hold signals.
However, presenting this 3-class target to the algorithm has resulted in poor accuracy for the buy & sell classifiers. To improve this, I chose to manually assign classes based on the probabilities of each sample. That is, I set the targets as 1 or 0 based on whether there was a price increase or decrease.
The algorithm then returns a probability between 0 and 1(usually between 0.45 and 0.55) for its confidence on which class each sample belongs to. I then select some probability bound for each class within those probabilities. For example: I select p > 0.53 to be classified as a buy signal, p < 0.48 to be classified as a sell signal and anything in between as a hold signal.
This method has drastically improved the classification accuracy, at some points to above 65%. However, I'm failing to come up with a method to select these probability bounds without a large validation set. I've tried finding the best probability values within a validation set of 3000 and this has improved the classification accuracy, yet the larger the validation set becomes, it is clear that the prediction accuracy in the test set is decreasing.
So, what I'm looking for is any method by which I could discern what the specific decision probabilities for each training set should be, without large validation sets. I would also welcome any other ideas as to how to improve this process. Thanks for the help!
What you are experiencing is called non-stationary process. The market movement depends on time of the event.
One way I used to deal with it is to build your model with data in different time chunks.
For example, use data from day 1 to day 10 for training, and day 11 for testing/validation, then move up one day, day 2 to day 11 for training, and day 12 for testing/validation.
you can save all your testing results together to compute an overall score for your model. this way you have lots of test data and a model that will adapt to time.
and you get 3 more parameters to tune, #1 how much data to use for train, #2 how much data for test, # per how many days/hours/data points you retrain your data.

evaluating accuracy of decision tree/forrest model

Im relatively new to ML. Ive created a decision tree model to predict prices of an item based on some criteria.
For an example, lets say the model predicts the price of a car based on a few features such as engine size, number of doors, fuel type, mileage and age.
Analysis of the data showed me that my data was not linear, so decision tree was a better fit. The model also does an ok job at predicting but before i can give it to any users, i need to quantify its accuracy.
As its non linear, R squared doesnt seem liek a good method of assessing accuracy, but im unsure what i should use.
Appreciate any advice on this.
In these cases, what you can usually do is to assess the performance of the model against a test or hold-out set (not used during the construction of the model), using a evaluation metric.
For regression problems (like the ones you are describing) there are several evaluation metrics available. The most common ones are MAE (Mean Absolute Error) and RMSE (Root Mean Squared Error)
To fully understand how good the performance of your model is, you can then compare it against other models, or against simple baselines (like predicting always the average price, or returning the price of the most similar car in the training set).

What does this learning curve show ? And how to handle non representativity of a sample?

==> to see learning curves
I am trying a random forest regressor for a machine learning problem (price estimation of spatial points). I have a sample of spatial points in a city. The sample is not randomly drawn since there are very few observations downtown. And I want to estimate prices for all addresses in the city.
I have a good cross validation score (absolute mean squared error) an also a good test score after splitting the training set. But predictions are very bad.
What could explain this results ?
I plotted the learning curve (link above) : cross validation score increases with number of instances (that sounds logical), training score remains high (should it decrease ?) ... What do these learning curves show ? And in general how do we "read" learning curves ?
Moreover, I suppose that the sample is not representative. I tried to make the dataset for which I want predictions spatially similar to the training set by drawing whitout replacement according to proportions of observations in each district for the training set. But this didn't change the result. How can I handle this non representativity ?
Thanks in advance for any help
There are a few common cases that pop up when looking at training and cross-validation scores:
Overfitting: When your model has a very high training score but a poor cross-validation score. Generally this occurs when your model is too complex, allowing it to fit the training data exceedingly well but giving it poor generalization to the validation dataset.
Underfitting: When neither the training nor the cross-validation scores are high. This occurs when your model is not complex enough.
Ideal fit: When both the training and cross-validation scores are fairly high. You model not only learns to represent the training data, but it generalizes well to new data.
Here's a nice graphic from this Quora post showing how model complexity and error relate to the type a fit a model exhibits.
In the plot above, the errors for a given complexity are the errors found at equilibrium. In contrast, learning curves show how the score progresses throughout the entire training process. Generally you never want to see the score decreasing during training, as this usually means your model is diverging. But the difference between the training and validation scores as they move forward in time (towards equilibrium) indicates how well your model is fitting.
Notice that even when you have an ideal fit (middle of complexity axis) it is common to see a training score that's higher than the cross-validation score, since the model's parameters are updated using the training data. But since you're getting poor predictions, and since validation score is ~10% lower than training score (assuming the score is out of 1), I would guess that your model is overfitting and could benefit from less complexity.
To answer your second point, models will generalize better if the training data is a better representation of validation data. So when splitting the data into training and validation sets, I recommend finding a way to randomly segregate the data. For example, you could generate a list of all the points in the city, iterate of the list, and for each point draw from a uniform distribution to decide which dataset that point belongs to.

Using decision tree in Recommender Systems

I have a decision tree that is trained on the columns (Age, Sex, Time, Day, Views,Clicks) which gets classified into two classes - Yes or No - which represents buying decision for an item X.
Using these values,
I'm trying to predict the probability of 1000 samples(customers) which look like ('12','Male','9:30','Monday','10','3'),
('50','Female','10:40','Sunday','50','6')
........
I want to get the individual probability or a score which will help me recognize which customers are most likely to buy the item X. So i want to be able to sort the predictions and show a particular item to only 5 customers who will want to buy the item X.
How can I achieve this ?
Will a decision tree serve the purpose?
Is there any other method?
I'm new to ML so please forgive me for any vocabulary errors.
Using decision tree with a small sample set, you will definitely run into overfitting problem. Specially at the lower levels of the decision, where tree you will have exponentially less data to train your decision boundaries. Your data set should have a lot more samples than the number of categories, and enough samples for each categories.
Speaking of decision boundaries, make sure you understand how you are handling data type for each dimension. For example, 'sex' is a categorical data, where 'age', 'time of day', etc. are real valued inputs (discrete/continuous). So, different part of your tree will need different formulation. Otherwise, your model might end up handling 9:30, 9:31, 9:32... as separate classes.
Try some other algorithms, starting with simple ones like k-nearest neighbour (KNN). Have a validation set to test each algorithm. Use Matlab (or similar software) where you can use libraries to quickly try different methods and see which one works best. There is not enough information here to recommend you something very specific. Plus,
I suggest you try KNN too. KNN is able to capture affinity in data. Say, a product X is bought by people around age 20, during evenings, after about 5 clicks on the product page. KNN will be able to tell you how close each new customer is to the customers who bought the item. Based on this you can just pick the top 5. Very easy to implement and works great as a benchmark for more complex methods.
(Assuming views and clicks means the number of clicks and views by each customer for product X)
A decision tree is a classifier, and in general it is not suitable as a basis for a recommender system. But, given that you are only predicting the likelihood of buying one item, not tens of thousands, it kind of makes sense to use a classifier.
You simply score all of your customers and retain the 5 whose probability of buying X is highest, yes. Is there any more to the question?

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