<s>
Behavioral	B-Algorithm
clustering	I-Algorithm
is	O
a	O
statistical	O
analysis	O
method	O
used	O
in	O
retailing	O
to	O
identify	O
consumer	O
purchase	O
trends	O
and	O
group	O
stores	O
based	O
on	O
consumer	O
buying	O
behaviors	O
.	O
</s>
<s>
When	O
performing	O
behavioral	B-Algorithm
clustering	I-Algorithm
,	O
store	O
clusters	O
are	O
formed	O
based	O
on	O
analyzing	O
the	O
actual	O
performance	O
(	O
e.g.	O
</s>
<s>
After	O
placing	O
each	O
store	O
in	O
a	O
cluster	O
,	O
individual	O
consumer-centric	O
strategies	O
can	O
then	O
be	O
created	O
to	O
facilitate	O
targeted	O
marketing	O
,	O
advertising	O
,	O
merchandising	B-Device
,	O
pricing	O
,	O
and	O
promotion	O
plans	O
.	O
</s>
<s>
The	O
major	O
benefit	O
of	O
using	O
a	O
bottom-up	O
behavioral	B-Algorithm
clustering	I-Algorithm
approach	O
is	O
that	O
it	O
enables	O
the	O
retailer	O
to	O
quickly	O
identify	O
clusters	O
of	O
stores	O
with	O
similar	O
demand	O
patterns	O
,	O
enabling	O
them	O
to	O
develop	O
truly	O
customer-centric	O
marketing	O
,	O
merchandising	B-Device
,	O
space	O
,	O
and	O
pricing	O
strategies	O
.	O
</s>
<s>
The	O
key	O
to	O
behavioral	B-Algorithm
clustering	I-Algorithm
is	O
to	O
find	O
the	O
right	O
balance	O
of	O
localization	O
to	O
meet	O
consumer	O
demand	O
while	O
still	O
maintaining	O
operational	O
efficiency	O
.	O
</s>
