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Feature Engineering Techniques

Practical ways to create informative features from raw data: dates, text, aggregates, interactions and domain knowledge.

Editorial team 1 min read

Good features often improve models more than algorithm changes, especially for tabular data.

Date and Time Features

Day of week, month, hour, holidays, time since an event, and cyclical encodings of time for periodic patterns.

Aggregates

Summaries over related records: a customer's average order value, number of purchases in 30 days, days since last login.

Ratios and Differences

Price per square metre, spend relative to average, change since last month.

Interactions

Combinations of features, such as region and product category together, when effects depend on both.

Binning

Grouping continuous values into ranges, useful for some models and for interpretability.

Text Features

Word counts, keyword flags, TF-IDF vectors or embeddings from language models.

Domain Knowledge

Experts often know which signals matter. Talk to them.

Avoid Leakage

Features must use only information available at prediction time. Compute aggregates using data from before the prediction date.

Validate

Measure each feature's contribution with cross-validation; remove features that add complexity without value.

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