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Machine Learning

Churn Prediction

A model that names the customers likely to leave next month, from the data you already have, so retention spends its time where it changes the outcome.

01 / 04

You hear about churn at the cancellation

The signals were in four systems: usage, tickets, invoices, calls. Each team saw its part. The account manager called after the notice, and the discount cost money with no effect.

CH.01 · The problem

You hear about churn when the cancellation arrives.

  1. Retention starts too late

    The account manager calls after the notice. By then the decision is made, and the discount offered is a cost with no effect.

  2. The signals are in four systems

    Usage in the product, tickets in support, invoices in billing, calls in the CRM. Each team sees its part. Nobody sees the customer.

  3. One campaign for everyone

    The same email to the loyal and the leaving. The budget is spread thin, and the customers who needed a call got a newsletter.

Our answer

A score per customer, weeks ahead

We join the signals, train a model on who left before and why, and give each account a churn risk with the reasons behind it. Retention works from the list, in order, and the result is measured against a control group.

CH.02 · What we build

How we build it

Three parts: join the data, train the model, put the list in front of the team.

Early warningOne customer viewA score with its reasonsMeasured against a control group
01

Data unification

One record per customer, over time.

  • Connect product, support, billing and CRM
  • Match accounts across systems
  • Define churn precisely: cancellation, downgrade, silence
  • Build the history the model will learn from
  • Check for the leaks that make a model look better than it is
02

Model development

Trained on who left, tested on who left later.

  • Engineer features from usage, tickets, payments and contacts
  • Train on past periods, test on the following ones
  • Report precision and recall at the list size the team can work
  • Explain each score with its main factors
  • Set the threshold with the retention lead
03

Operationalisation

A list the team works every week.

  • Score every account on a schedule
  • Deliver the list into the CRM or the tool the team uses
  • Record the action taken and the outcome
  • Hold back a control group
  • Retrain when the numbers drift
CH.03 · How it runs

How it runs

Four phases, each with a number at the end.

  1. 01Phase 1

    Discovery

    Define churn, find the data, set the target.

    • Agree the definition of churn with the business
    • Inventory the sources and their history
    • Measure the baseline churn rate
  2. 02Phase 2

    Data pipeline

    One customer record, updated on a schedule.

    • Connect the sources
    • Match accounts across systems
    • Build the feature pipeline
  3. 03Phase 3

    Model

    Train, test, explain.

    • Train on past periods
    • Test on the following periods
    • Report precision and recall at the list size
  4. 04Phase 4

    Production

    Score, act, measure, retrain.

    • Deliver scores into the team's tool
    • Record actions and outcomes
    • Run the control group
CH.04 · What changes

What changes

Retention calls the right accounts, earlier, and knows what it achieved.

Weeks of warning

The score moves before the customer does. The call happens while there is still something to fix.

Effort where it matters

A ranked list instead of a mailing. The team's hours go to the accounts where a call changes the outcome.

A number for the board

Churn in the treated group against the control group, in customers and in revenue. The model's worth is measured, every quarter.

Side by sideTodayWith churn scores
When you knowAt the cancellationWeeks before, from the signals
Who gets contactedWhoever complains, or everyoneThe ranked list, top down
What the call is aboutA generic offerThe factors behind that account's score
Where the budget goesSpread across all accountsTo the accounts a call can keep
Proof it workedChurn went up or downTreated against control, in euros
CH.05 · Questions

Questions

It depends on your data and how churn is defined. We report precision and recall at the list size your team can work, tested on periods the model never saw, before anything is deployed. The number that matters afterwards is the difference between the treated group and the control group.

A history of who left and when, and the signals before it: product usage, support tickets, invoices and payments, CRM contacts. A year or more of history is a good start. We inventory what you have in discovery and say what the model can and cannot learn from it.

Discovery is two weeks at a fixed price. The first scored list typically lands within weeks after the data is connected, and the control group needs a full churn cycle to show a result. We fix the timeline after discovery, when the data is known.

Customers, products and prices change, and the patterns before churn change with them. We monitor the score distribution and the precision of each list, and retrain when they drift. Every action and outcome recorded by the team becomes training data for the next version.

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