Welcome to the co u rse MAR K E TIN G AN ALYTIC S : P R E D IC TIN G - - PowerPoint PPT Presentation

▶
welcome to the co u rse
SMART_READER_LITE
LIVE PREVIEW

Welcome to the co u rse MAR K E TIN G AN ALYTIC S : P R E D IC TIN G - - PowerPoint PPT Presentation

May 27, 2023 217 likes •581 views

Welcome to the co u rse MAR K E TIN G AN ALYTIC S : P R E D IC TIN G C U STOME R C H U R N IN P YTH ON Mark Peterson Senior Data Scientist , Alliance Data Ch u rn Anal y tics MARKETING ANALYTICS : PREDICTING CUSTOMER CHURN IN PYTHON MARKETING

slide-1
SLIDE 1

Welcome to the course

MAR K E TIN G AN ALYTIC S: P R E D IC TIN G C U STOME R C H U R N IN P YTH ON

Mark Peterson

Senior Data Scientist, Alliance Data

slide-2
SLIDE 2

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Churn Analytics

slide-3
SLIDE 3

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

slide-4
SLIDE 4

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Customer churn

When an existing customer stops doing business with a company

slide-5
SLIDE 5

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Contractual churn

slide-6
SLIDE 6

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Voluntary churn

slide-7
SLIDE 7

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Non-contractual churn

slide-8
SLIDE 8

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Involuntary churn: Credit card expiration

slide-9
SLIDE 9

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Involuntary churn: Utilities turned off

slide-10
SLIDE 10

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Utilizing your experience

Customer Lack of usage Poor Service Beer Price Domain/industry knowledge

slide-11
SLIDE 11

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Telco Churn Dataset

Description Value Records 3333 Features 21 Continous 15 Categorical 6

slide-12
SLIDE 12

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Features of interest

Voice mail International calling Cost for the service Customer usage Customer churn

slide-13
SLIDE 13

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

How churn is defined here

Customer cancelling their cellular plan at a given point in time

"no" "yes"

slide-14
SLIDE 14

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Exploratory data analysis using pandas

Understand the features of the dataset Compute summary statistics

slide-15
SLIDE 15

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Exploratory data analysis using pandas

pandas Foundations

df.head() df.describe() df.mean()

slide-16
SLIDE 16

Let's explore the data!

MAR K E TIN G AN ALYTIC S: P R E D IC TIN G C U STOME R C H U R N IN P YTH ON

slide-17
SLIDE 17

Grouping and summarizing data

MAR K E TIN G AN ALYTIC S: P R E D IC TIN G C U STOME R C H U R N IN P YTH ON

Mark Peterson

Senior Data Scientist, Alliance Data

slide-18
SLIDE 18

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Churners and non-churners

print(telco['Churn'].value_counts()) no 2850 yes 483 Name: Churn, dtype: int64

slide-19
SLIDE 19

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Model outcomes

Two classes:

'yes' : Customer will churn 'no' : Customer will not churn

slide-20
SLIDE 20

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences between churners and non-churners

Do churners call customer service more oen? Does one state have more churners compared to another?

slide-21
SLIDE 21

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Grouping and summarizing data

.groupby()

slide-22
SLIDE 22

Let's group and summarize!

MAR K E TIN G AN ALYTIC S: P R E D IC TIN G C U STOME R C H U R N IN P YTH ON

slide-23
SLIDE 23

Exploring your data using visualizations

MAR K E TIN G AN ALYTIC S: P R E D IC TIN G C U STOME R C H U R N IN P YTH ON

Mark Peterson

Senior Data Scientist, Alliance Data

slide-24
SLIDE 24

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Visualizing data in Python

seaborn library allows you to easily create informative and aractive plots

Builds on top of matplotlib

slide-25
SLIDE 25

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Visualizing the distribution of account lengths

Important to understand how your variables are distributed

import matplotlib.pyplot as plt import seaborn as sns sns.distplot(telco['Account_Length']) plt.show()

slide-26
SLIDE 26

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

slide-27
SLIDE 27

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account length

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-28
SLIDE 28

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account lengths

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-29
SLIDE 29

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account lengths

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-30
SLIDE 30

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account lengths

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-31
SLIDE 31

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account lengths

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-32
SLIDE 32

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account lengths

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-33
SLIDE 33

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account length

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco) plt.show()

slide-34
SLIDE 34

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Differences in account length

Box plot

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco, sym="") plt.show()

slide-35
SLIDE 35

MARKETING ANALYTICS: PREDICTING CUSTOMER CHURN IN PYTHON

Adding a third variable

sns.boxplot(x = 'Churn', y = 'Account_Length', data = telco, hue = 'Intl_Plan') plt.show()

slide-36
SLIDE 36

Let's make some plots!

MAR K E TIN G AN ALYTIC S: P R E D IC TIN G C U STOME R C H U R N IN P YTH ON