Running the Analysis

  1. To run the cluster analysis, from the menus choose:

    Analyze > Classify > K-Means Cluster...

    Figure 1. K-Means Cluster Analysis dialog box
    K-Means Cluster Analysis dialog box
  2. If the variable list does not display variable labels in file order, right-click anywhere in the variable list and from the context menu choose Display Variable Labels and Sort by File Order.
  3. Select Standardized log-long distance through Standardized log-wireless and Standardized multiple lines through Standardized electronic billing as analysis variables.
  4. Type 3 as the number of clusters.
  5. Click Iterate.
    Figure 2. Iterate dialog box
    Iterate dialog box
  6. Type 20 as the maximum iterations.
  7. Click Continue.
  8. Click Options in the K-Means Cluster Analysis dialog box.
    Figure 3. Options dialog box
    Options dialog box
  9. Select ANOVA table and Cluster information for each group in the Statistics group.
  10. Select Exclude cases pairwise in the Missing Values group. There are many missing values due to the fact that most customers do not subscribe to all services, so excluding cases pairwise maximizes the information you can obtain from the data... at the cost of possibly biasing the results.
  11. Click Continue, then click OK in the K-Means Cluster Analysis dialog box.

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