An incremental system for hierarchical conceptual clustering invented by Professor Douglas H. Fisher. It organizes observations into a classification tree where each node represents a class or concept and is labeled by a probabilistic description of that concept.

• Data Mining
• Pattern Recognition
• Machine Learning
• Artificial Intelligence
• Cognitive Science
• Information Retrieval
• Decision Support Systems

Cobweb can be used to cluster customer segments based on their buying behavior, such as grouping customers who frequently purchase luxury items together, and those who mostly buy essential products separately. This classification tree can then be used to predict the missing attributes or class of a new customer, allowing marketers to tailor their marketing strategies more effectively.

• Data quality issues – who wants to deal with it?