Recommendation system plays a major role in web mining and it is applied to many applications such as e-commerce, e government and e-library. The key challenges of recommendation system is to recommend the users based on their interest among more visitors and huge information. To make this challenge effective, there is a need for clustering algorithm to handle the data. Hence, this research focused on designing effective clustering algorithm to apply it in e-commerce applications. The grey wolf optimization based clustering is proposed to make an efficient clustering method for grouping the users based on their interest. To find the effective clustering, proposed a grey wolf optimization based fuzzy clustering algorithm, and made a comparison on Fuzzy C Means (FCM) based Genetic Algorithm (GA), Entropy based FCM and Improved Genetic FCM (FCM-GA). The experimental results proves that it performs better than traditional algorithms, at the same time the quality is improved.