Use-cases of Machine Learning in E-Commerce

Use Cases of Machine Learning in E-Commerce
Use Cases of Machine Learning in E-Commerce

What computing did to the usual industry earlier, Machine Learning is doing the same to usual rule-based computing now. It is eating the market of the same. Earlier, in organizations, there used to be separate groups for Image Processing, Audio Processing, Analytics and Predictions. Now, these groups are merged because machine learning is basically overlapping with every domain of computing. Let us discuss how machine learning is impacting e-commerce in particular.

The first use case of Machine Learning that became really popular was Amazon Recommendations. Afterwards, the Netflix launched a challenge of Movie Recommendations which gave birth to Kaggle, now an online platform of various machine learning challenges.

Before I dive deep into the details further, lets quickly brief the terms that are found often confusing. AI stands for Artificial Intelligence which means being able to display human-like intelligence. AI is basically an objective. Machine learning is making computers learn based on historical or empirical data instead of explicitly writing the rules. Artificial Neural networks are the computing constructs designed on a similar structure like the animal brain. Deep Learning is a branch of machine learning where we use a complex Artificial Neural network for predictions.

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How To Optimise A Neural Network?

When we are solving an industry problem involving neural networks, very often we end up with bad performance. Here are some suggestions on what should be done in order to improve the performance.

Is your model underfitting or overfitting?

You must break down the input data set into two parts – training and test. The general practice is to have 80% for training and 20% for testing.

You should train your neural network with the training set and test with the testing set. This sounds like common sense but we often skip it.

Compare the performance (MSE in case of regression and accuracy/f1/recall/precision in case of classification) of your model with the training set and with the test set.

If it is performing badly for both test and training it is underfitting and if it is performing great for the training set but not test set, it is overfitting.

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