Churn prediction and management system
First Claim
1. A system for managing churn among customers of a business having a statistically large customer base, the system comprising:
- a memory device configured to store a data mart;
a processor in communication with the memory device;
a population architecture executable by the processor to receive customer data from one or more data sources stored in the data mart, the customer data defining a plurality of customer attributes for each customer in the customer base;
a data manipulation module executable by the processor to;
calculate derived variable values based on the customer data, wherein each of the derived variable values is indicative of at least one customer characteristic;
select a subset of the derived variable values in response to a preselected data mining function; and
generate at least one analytical record containing the subset of the derived variable values, wherein the at least one analytical record is associated with a plurality of customers;
a data mining tool executable by the processor to perform the preselected data mining function, the preselected data mining function configured to;
analyze the at least one analytical record;
return results identifying clusters of customers sharing common customer attributes in response to the analysis of the at least one analytical record; and
calculate, based on the at least one analytical record, individual customers'"'"' propensities to churn during a predefined period in the future, the data manipulation module storing the results in the data mart; and
an end user access module executable by the processor to;
access the results returned from the data mining tool; and
present the results to a user.
3 Assignments
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Accused Products
Abstract
A system and method for managing churn among the customers of a business is provided. The system and method provide for an analysis of the causes of customer churn and identifies customers who are most likely to churn in the future. Identifying likely churners allows appropriate steps to be taken to prevent customers who are likely to churn from actually churning. The system included a dedicated data mart, a population architecture, a data manipulation module, a data mining tool and an end user access module for accessing results and preparing preconfigured reports. The method includes adopting an appropriate definition of churn, analyzing historical customer to identify significant trends and variables, preparing data for data mining, training a prediction model, verifying the results, deploying the model, defining retention targets, and identifying the most responsive targets.
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Citations
11 Claims
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1. A system for managing churn among customers of a business having a statistically large customer base, the system comprising:
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a memory device configured to store a data mart; a processor in communication with the memory device; a population architecture executable by the processor to receive customer data from one or more data sources stored in the data mart, the customer data defining a plurality of customer attributes for each customer in the customer base; a data manipulation module executable by the processor to; calculate derived variable values based on the customer data, wherein each of the derived variable values is indicative of at least one customer characteristic; select a subset of the derived variable values in response to a preselected data mining function; and generate at least one analytical record containing the subset of the derived variable values, wherein the at least one analytical record is associated with a plurality of customers; a data mining tool executable by the processor to perform the preselected data mining function, the preselected data mining function configured to; analyze the at least one analytical record; return results identifying clusters of customers sharing common customer attributes in response to the analysis of the at least one analytical record; and calculate, based on the at least one analytical record, individual customers'"'"' propensities to churn during a predefined period in the future, the data manipulation module storing the results in the data mart; and an end user access module executable by the processor to; access the results returned from the data mining tool; and present the results to a user. - View Dependent Claims (2, 3, 4, 5, 6, 7, 8, 9, 10, 11)
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Specification