Unsupervised Learning (Clustering-based Customer Segmentation)

Hierarchical Clustering

Learning Outcome

5

Differentiate linkage methods.

4

Find optimal number of clusters.

3

Interpret dendrograms.

2

Understand Agglomerative clustering process.

1

Compare Hierarchical Clustering with K-Means.

The Agglomerative Dance

The Secret Weapon: The Dendrogram

Finding 'K': Slicing the Tree

 The Math: How Do Groups Measure Distance?

Pros & Cons Cheat Sheet

Summary

4

Ward’s method keeps clusters compact.

3

Cut the tree to find optimal clusters.

2

Dendrogram shows merge history and distances.

1

Bottom-up clustering (each point → one cluster → merge).

Quiz

What does dendrogram height represent?

A. Number of data points

B. Distance between clusters

C. Processing time

D. Accuracy

Quiz-Answer

What does dendrogram height represent?

A. Number of data points

B. Distance between clusters

C. Processing time

D. Accuracy