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Customer Churn

Customer retention is the most critical need for any business today

The cost of acquiring a new customer can be much higher than that of retaining an existing customer. Increasing customer retention rates by a mere 5% could increase profits by 25% to 95%.

Customer churn reflects how fast customers are leaving and creating a dent in your pocket. It’s a brutally honest metric that relates whether you have a viable business model as high churn hinders your potential for growth and hence an incredibly important dimension for any business. Customer churn might seem like it has a marginal effect on your monthly recurring revenue (MRR), but once churn gets out of control it can topple your growth and your business will eventually die. Reasons for Customer Churn are:

Churn can be divided into Active and Passive. You need to identify which are the key points in your customer lifetime cycle where customers stop buying (or switch from) your service / product. Type of Churn can be classified into:

Why we built this Accelerator?

A Telecom company was facing major challenge with customer churn, as customers were switching to alternate providers for various reasons like lower cost, multi (combo) service offerings, promotional offers etc.


Identifying these potential customers early on who may voluntarily churn and providing them retention incentives in form of discounts & combo offers will help the organization reduce revenue loss.

The company could also study possible operational causes and improve its product offerings. Proactive actions will prevent the loss of revenue and improve the market share among the industry peers in terms of the number of active subscribers.

Solution Accelerator

Our Customer Churn prediction Model consists of a systematic retention process that allows you to find all the ways, tiny little tips, tricks, and tactics you can use to maximize customer satisfaction and reduce customer churn, and a proactive churn prevention strategy that helps you to eliminate potential issues before they occur and keep customers happier as your company grows.

We developed this model in a multi-step process:

MDM Solution

Solution Features

  • Churn data refreshed daily for all customers. Model provides churn probability of customers likely to churn.
  • Model factors in 16 different attributes of customer. Accuracy grows with more data.
  • Detailed visualizations/reports provide factors causing churn and retention techniques
  • Model accuracy is around 95%.

Business Benefits

  • Organization churn rate decreased by 12%
  • Proactive recommendations improved Net Promoter Score by 8%
MDM Business Benefits

Uncover Valuable Patterns and Insights

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