Building a predictive churn model

Home
Topics
CRM and marketing
Customer loyalty and retention
Building a predictive churn model

Building a predictive churn model

Michael Lowenstein, VP and Senior Consultant, Customer Loyalty Management, Harris Interactive

I was trying to build a predictive churn model based on statistical analytical techniques. However, I have not been able to hit upon the right tool (logistic regression, cluster analysis, or PCA) or the right methodology. It would be very nice if you could provide some insights as to the modeling aspects.

Requires Free Membership to View

Login

When you register, you'll begin receiving targeted emails from my team of award-winning editorial writers on the latest customer relationship management (CRM)and call center technology issues today. Our goal is to keep you informed on the hottest issues facing this fast-changing industry.

Hannah Smalltree, Editorial Director

By submitting your registration information to SearchCRM.com you agree to receive email communications from TechTarget and TechTarget partners. We encourage you to read our Privacy Policy which contains important disclosures about how we collect and use your registration and other information. If you reside outside of the United States, by submitting this registration information you consent to having your personal data transferred to and processed in the United States. Your use of SearchCRM.com is governed by our Terms of Use. You may contact us at webmaster@TechTarget.com.

I've likened predictive churn modeling to the alchemy practiced during medieval times when trying to find a formula which would create gold. Most predictive models are built on a combination of multivariate techniques which include regression and branching (CHAID) methodologies. For reference, I've attached one of my articles on this subject, which appeared last year on SearchCRM.

Dig Deeper

People who read this also read...

Related glossary terms

Terms for Whatis.com - the technology online dictionary

Show me more

This was first published in April 2003

Join the conversationComment

Share

Comments

Results

Contribute to the conversation

All fields are required. Comments will appear at the bottom of the article.

Back to top

More from Related TechTarget Sites

Business Analytics
Data Management
SAP
Oracle
Data Management UK
Content Management

Business Analytics
- To glean value from ‘big data’ projects, it may take more than Hadoop
  
  Organizations will have to push beyond storage requirements and basic business intelligence tools to exploit big data, according to a Gartner analyst.
- On the go the way to go? Answer lies with building mobile BI business case
  
  According to a recent Gartner survey, mobile technology is the second most important priority for CIOs in 2012, but building the business case is easier said than done.
- Basic vs. complex: Companies walk the line on analytics best practices
  
  Businesses looking to build effective business intelligence and analytics programs have to toe the line between focusing on the basics and using new technology to build more complex BI systems.
Data Management
- People, process issues offer path to improve data quality on the cheap
  
  An emphasis on educating end users and upgrading internal processes can help enterprises fix data quality problems without dropping a ton of cash, according to analysts.
- As data demands speed up, information management tools pave road ahead
  
  New research shows data virtualization, data governance and master data management initiatives provide higher levels of satisfaction with data quality and data integration.
- Bank of America IT exec: EIM drivers key to shaping project plans
  
  Enterprise information management programs should be molded around clear business objectives, says a senior information architect at Bank of America.
SAP
- SAP builds the case for HANA in-memory bench with new apps, customers
  
  After talking up its mobile and cloud road maps, SAP chose last day of the SapphireNow conference to talk about the third part of the equation it’s basing its future success on: HANA, and in-memory technology.
- SuccessFactors now leading SAP cloud strategy, but questions remain
  
  SAP has placed a huge bet on a new executive “born in the cloud” and on a company that will now guide both companies’ roadmap for existing products.
- SAP tells of a future built on in-memory, mobile, and cloud
  
  SAP outlined its cloud strategy at the SapphireNow conference in Orlando. Are customers genuinely interested, or is it just SAP hype?
Oracle
- Implementing a Hyperion system in 3 weeks -- it can be done
  
  An Oracle Hyperion system implementation in three weeks? Yes, it can be done. Communications firm Neustar implemented Hyperion in less than a month and gained efficiencies in the process.
- Las Vegas expands its Oracle business intelligence horizons for better government transparency
  
  The city of Las Vegas underwent a three-year Oracle business intelligence project to bring more data to its employees and the public. The city's IT manager explains how it happened.
- Midmarket companies find JD Edwards upgrades a good fit
  
  At some point, your JD Edwards shop will have to decide whether to switch to a different product, upgrade or stay where you are. Learn what two other organizations did when working through JD Edwards upgrades.
DataManagement UK
- Podcast: How to craft an effective MDM strategy
  
  In this podcast interview, Andy Hayler gives advice on how to create and implement an MDM strategy that is ruthlessly focused on business value.
- Jill Dyché: CEO big data focus good news and bad news for IT
  
  Jill Dyché, a data management expert, sees CEO interest and scepticism as both an opportunity and a threat. Avoid the big data 'gotchas', and don't mistake data warehousing for big data.
- Infostrada teams up with Roambi, mobile sports analytics at Olympics
  
  Dutch media sports information provider Infostrada has teamed up with mobile BI company Roambi to create an iPhone and iPad app for the Olympics. It will predict medal counts.
Content Management
- Cimarex picks Accellion enterprise collaboration platform over SharePoint
  
  Cimarex Energy replaced its SharePoint system with Accellion’s enterprise collaboration platform for secure mobile file sharing and uses it to recruit graduate geology students.
- Paper originals still needed when using a document management system?
  
  Get expert advice on whether it’s necessary to keep paper or other forms of original materials once a company implements an electronic document management system.
- Out with old: Effective records management begins with losing useless data
  
  An effective records management program is one that not only knows what to keep – but which expired data can be removed to save time and money, said consultant Randolph Kahn.

All Rights Reserved, Copyright 2000 - 2012, TechTarget