INOVTEK Polbeng - Seri Informatika
Vol. 11 No. 3 (2026): August

Customer Lifetime Value Prediction Using Long Short-Term Memory with RFM-T Features Based on E-Commerce Customer Data

Sabilla Laili Ramadhani Putri (Informatics Department, Dr. Soetomo University, Surabaya, Indonesia)
Anik Vega Vitianingsih (Informatics Department, Dr. Soetomo University, Surabaya, Indonesia)
Anastasia Lidya Maukar (Industrial Engineering Department, President University)
Achmad Muzakki (Information Systems Department, Telkom University)
Hewa Majeed Zangana (IT Department, Duhok Technical College, Duhok Polytechnic University, Duhok, Iraq)



Article Info

Publish Date
13 Aug 2026

Abstract

CLV prediction plays an important role in e-commerce by helping companies identify valuable customers and develop effective retention strategies. However, predicting CLV remains challenging due to the sequential nature of customer purchasing behavior. This study proposes a CLV prediction model using the LSTM algorithm with Recency, Frequency, Monetary, and Tenure (RFM-T) features extracted from the Online Retail II dataset. The CLV target is calculated as the accumulated monetary value generated during the three months following the historical observation period. The proposed approach consists of data preprocessing, monthly RFM-T feature engineering, feature normalization using min-max scaling, LSTM model training, denormalization, and performance evaluation using MAE and RMSE. The LSTM model incorporates stacked LSTM layers, batch normalization, dropout, and L2 regularization to improve learning stability and generalization. Experimental results indicate that the model was able to capture customer purchasing patterns based on sequential RFM-T features, with training and validation loss trends showing stable convergence. The proposed model achieved an MAE of 43.16 and an RMSE of 125.39 on the original monetary scale, reflecting the prediction performance obtained on the evaluated dataset. These findings suggest that the proposed LSTM model with RFM-T features provides an approach for CLV prediction in e-commerce.

Copyrights © 2026






Journal Info

Abbrev

ISI

Publisher

Subject

Computer Science & IT

Description

The Journal of Innovation and Technology (INOVTEK Polbeng—Seri Informatika) is a distinguished publication hosted by the State Polytechnic of Bengkalis. Dedicated to advancing the field of informatics, this scientific research journal serves as a vital platform for academics, researchers, and ...