Question

sanjay has been asked to categorize his company's customer base. he is looking for buying patterns and wants to know the last time customers purchased from the company and how much they spend on the company's products in one year. which type of analysis tool should sanjay use?

Answer 1

Sanjay should utilize a Customer Relationship Management (CRM) system to categorize his company's customer base by tracking purchase history and spending patterns. Additional data analysis tools may also be employed for in-depth analysis.

Step-by-step explanation:

Sanjay should use a Customer Relationship Management (CRM) system. This tool is designed to help businesses manage their customer data. It typically features the ability to track purchase history, customer interactions, and analyze various patterns such as purchase frequency and spending.

The data gleaned from a CRM can inform marketing strategies, sales targeting, and customer service improvements. Sanjay can generate reports on customer purchase history and annual spending patterns, which can be used to categorize the company's customer base effectively.

In conjunction with a CRM, data analysis tools such as statistical software could further assist Sanjay. Tools like spreadsheets, SQL databases, or specialized data analysis applications enable detailed examination and visualization of data to uncover trends and insights about customer behavior.