Telco Customer Churn Prediction
Objectives: Build predictive model to predict customer churn
Models:
Customer churn, also known as customer attrition, is the loss of clients or customers by a business. Telephone or Internet service, insurance companies, and other services based on subscription (e.g. Netflix, Spotify, etc.) Customer churn rate is often used as a key business metric for these types of companies because the cost of acquiring a new customer is far more than retaining an existing one. By applying a predictive model, the company could take the initiative to prevent losing customers.
Result from my medels:
| Model | Cross-validation Score | Auc Score |
|---|---|---|
| KNN | 0.83 | 0.71 |
| Logistic Regression | 0.84 | 0.71 |
| SVC | 0.84 | 0.72 |
| SVM | 0.83 | 0.71 |
| Decision Tree | 0.82 | 0.72 |
Result after applying PCA:
| Model | Auc Score | Auc Score_PCA |
|---|---|---|
| KNN | 0.71 | 0.69 |
| Logistic Regression | 0.71 | 0.68 |
| SVC | 0.72 | 0.67 |
| SVM | 0.71 | 0.69 |
| Decision Tree | 0.72 | 0.69 |