AbstractOver the decade, a number of attempts have been made towards data stream clustering, but most of the works fall under clustering by example approach. There are a number of applications where clustering by variable approach is required which involves clustering of multiple data streams as opposed to clustering data examples in a data stream. Furthermore, a few works have been presented for clustering multiple data streams and these are applicable to numeric data streams only. Hence, this research gap has motivated current research work. In the present work, a hierarchical clustering technique has been proposed to cluster multiple data streams where data are nominal. To address the concept changes in the data streams splitting and merging of the clusters in the hierarchical structure are performed. The decision to split or merge is based on the entropy measure, representing the cluster’s degree of disparity. The performance of the proposed technique has been analysed and compared to Agglomerative Nesting clustering technique on synthetic as well as a real-world dataset in terms of Dunn Index, Modified Hubert $$\varGamma $$
Γ
statistic, Cophenetic Correlation Coefficient, and Purity. The proposed technique outperforms Agglomerative Nesting clustering technique for concept evolving data streams. Furthermore, the effect of concept evolution on clustering structure and average entropy has been visualised for detailed analysis and understanding.