• Title/Summary/Keyword: Churn

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A Study of Customer Churn by Analysing CRM Customer Data (CRM 고객데이터 분석을 통한 이탈고객 연구)

  • Kim, Sang Yong;Song, Ji Yeon;Lee, Gi Soon
    • Asia Marketing Journal
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    • v.7 no.1
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    • pp.21-42
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    • 2005
  • Customer Relationship Management (CRM) is a corporate marketing strategy maintaining and managing customers. And with CRM companies maximize the customer's value through a series of processes of new customer retention, VIP customer retention, customer value increase, potential customer activation, and customers for lifetime by collecting the customer information and taking advantage of it effectively. In particular, as the competitive environment is changing rapidly and getting more intense, maintaining the customer retention through customer churn management becomes more important in order to increase the customer value for maximizing the company's profit and to build up the relationship with customers. For example, the financial industry has managed the customer churn with the concept of customer segmentation. Recently the customer retention and churn management is becoming increasingly important in all business fields as well as financial industry since the companies expect the effect of preventing the customer churn by identifying characteristics of customers. However, despite the increasing interest and importance of the management of the customer churn, not many of studies are systematically executed by analyzing the data of customer churn. In this study we analyze the actual data of CRM activities for the customer retention, specifically the data of TV home-shopping. By doing so, we hope to identify the differences of demographic attributes and transaction specific characteristics in consumer behaviors between the churning customer and the retained customers. In addition, we try to find out the variables which can impact the churning of the customers and to predict the churn rate of individual customer through our proposed model of customer churn. In the end, based on our findings we suggest the possible marketing strategies for TV home-shopping companies.

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Experimental research on flow regime and transitional criterion of slug to churn-turbulent and churn-turbulent to annular flow in rectangular channels

  • Qingche He;Liang-ming Pan;Luteng Zhang;Wangtao Xu;Meiyue Yan
    • Nuclear Engineering and Technology
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    • v.55 no.11
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    • pp.3973-3982
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    • 2023
  • As for two-phase flow in rectangular channels, the flow regimes especially like churn-turbulent and annular flow are significant for the physical problem like Countercurrent Flow Limitation (CCFL). In this study, the rectangular channels with cross-sections of 4 × 66 mm, 6 × 66 mm, 8 × 66 mm are adopted to investigate the flow regimes of air-water vertical upward two phase flow under adiabatic condition. The gas and liquid superficial velocities are 0 ≤ jg ≤ 20m/s and 0.25 ≤ jf ≤ 3m/s respectively which covering bubbly to annular flow. The flow regimes are identified by random forest algorithm and the flow regime maps are obtained. As the results, the transitional void fraction from slug to churn turbulent flow fluctuate from 0.47 to 0.58 which is significantly affected by the dimensional size of channel and flow rate. Besides, the void fraction at transitional points from churn-turbulent (slug) to annular flow are 0.66-0.67, which are independent with the gap size. Furthermore, a new criteria of slug to churn-turbulent flow is established in this study. In addition, by introducing the interfacial force model, the criteria of churn-turbulent (slug) flow to annular flow is verified.

AI-based early detection to prevent user churn in MMORPG (MMORPG 게임의 이탈 유저에 대한 인공지능 기반 조기 탐지)

  • Minhyuk Lee;Sunwoo Park;Sunghwan Lee;Suin Kim;Yoonyoung Cho;Daesub Song;Moonyoung Lee;Yoonsuh Jung
    • The Korean Journal of Applied Statistics
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    • v.37 no.4
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    • pp.525-539
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    • 2024
  • Massive multiplayer online role playing game (MMORPG) is a common type of game these days. Predicting user churn in MMORPG is a crucial task. The retention rate of users is deeply associated with the lifespan and revenue of the service. If the churn of a specific user can be predicted in advance, targeted promotions can be used to encourage their stay. Therefore, not only the accuracy of churn prediction but also the speed at which signs of churn can be detected is important. In this paper, we propose methods to identify early signs of churn by utilizing the daily predicted user retention probabilities. We train various deep learning and machine learning models using log data and estimate user retention probabilities. By analyzing the change patterns in these probabilities, we provide empirical rules for early identification of users at high risk of churn. Performance evaluations confirm that our methodology is more effective at detecting high risk users than existing methods based on login days. Finally, we suggest novel methods for customized marketing strategies. For this purpose, we provide guidelines of the percentage of accessed users who are at risk of churn.

Estimate Customer Churn Rate with the Review-Feedback Process: Empirical Study with Text Mining, Econometrics, and Quai-Experiment Methodologies (리뷰-피드백 프로세스를 통한 고객 이탈률 추정: 텍스트 마이닝, 계량경제학, 준실험설계 방법론을 활용한 실증적 연구)

  • Choi Kim;Jaemin Kim;Gahyung Jeong;Jaehong Park
    • Information Systems Review
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    • v.23 no.3
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    • pp.159-176
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    • 2021
  • Obviating user churn is a prominent strategy to capitalize on online games, eluding the initial investments required for the development of another. Extant literature has examined factors that may induce user churn, mainly from perspectives of motives to play and game as a virtual society. However, such works largely dismiss the service aspects of online games. Dissatisfaction of user needs constitutes a crucial aspect for user churn, especially with online services where users expect a continuous improvement in service quality via software updates. Hence, we examine the relationship between a game's quality management and its user base. With text mining and survival analysis, we identify complaint factors that act as key predictors of user churn. Additionally, we find that enjoyment-related factors are greater threats to user base than usability-related ones. Furthermore, subsequent quasi-experiment shows that improvements in the complaint factors (i.e., via game patches) curb churn and foster user retention. Our results shed light on the responsive role of developers in retaining the user base of online games. Moreover, we provide practical insights for game operators, i.e., to identify and prioritize more perilous complaint factors in planning successive game patches.

Comparative Study of Dimension Reduction Methods for Highly Imbalanced Overlapping Churn Data

  • Lee, Sujee;Koo, Bonhyo;Jung, Kyu-Hwan
    • Industrial Engineering and Management Systems
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    • v.13 no.4
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    • pp.454-462
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    • 2014
  • Retention of possible churning customer is one of the most important issues in customer relationship management, so companies try to predict churn customers using their large-scale high-dimensional data. This study focuses on dealing with large data sets by reducing the dimensionality. By using six different dimension reduction methods-Principal Component Analysis (PCA), factor analysis (FA), locally linear embedding (LLE), local tangent space alignment (LTSA), locally preserving projections (LPP), and deep auto-encoder-our experiments apply each dimension reduction method to the training data, build a classification model using the mapped data and then measure the performance using hit rate to compare the dimension reduction methods. In the result, PCA shows good performance despite its simplicity, and the deep auto-encoder gives the best overall performance. These results can be explained by the characteristics of the churn prediction data that is highly correlated and overlapped over the classes. We also proposed a simple out-of-sample extension method for the nonlinear dimension reduction methods, LLE and LTSA, utilizing the characteristic of the data.

A Priority Analysis of Card Customer Churn Factors Using AHP : Focusing on Management Support, Card Recruitment, Customer Service Personnel's Perspective (AHP를 이용한 카드고객 이탈 요인의 우선순위 분석 : 경영지원·카드모집·고객서비스 집단을 중심으로)

  • Lee, Jungwoo;Song, Young-gue;Han, Chang Hee
    • Journal of Information Technology Services
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    • v.20 no.4
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    • pp.35-52
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    • 2021
  • Nowadays data-based decision making is emerging as the center of the business environment paradigm, but many companies do not have data-driven decision-making systems. It has also been studied that using an expert's intuition in decision making can be more efficient in terms of speed and cost, compared to analytical decision making. The goal of this study is to analyze customer churn factors using a group of experts within a financial company from the viewpoint of decision-making efficiency. We applied a debit card 'A', product of the National Credit Union Federation of Korea. The churn factors of all the financial expert groups were examined. Also. the difference in each group (management support, card recruitment, customer service group) was analyzed. We expect that this study will be helpful in the practical aspects of managers whose environments is lack data-oriented infrastructure and culture.

Churn Analysis of Maximum Level Users in Online Games (온라인 게임 내 최고 레벨 유저의 이탈 분석)

  • Park, Kunwoo;Cha, Meeyoung
    • Journal of KIISE
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    • v.44 no.3
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    • pp.314-322
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    • 2017
  • In MMORPG (Massively Multiplayer Online Role-Playing Game), users advance their own characters to get to the maximum (max) level by performing given tasks in the game scenario. Although it is crucial to retain users with high levels for running online games successfully, little efforts have been paid to investigate them. In this study, by analyzing approximately 60 million in-game logs of over 50,000 users, we aimed to investigate the process through which users achieve the max level and churn of such users since the moment of achieving the max level, and determine possible indicators related to churn after the max level. Based on the result, we can predict churn of the max level users by employing behavioral patterns before the max level. Moreover, we found users who are socially active and communicate with many people before the max level are less likely to leave the service (p<0.05). This study supports that communication patterns are important factors for persistent usage of the users who achieve the max level, which has practical implications to guide elite users on enjoying online games in the long run.

A Securities Company's Customer Churn Prediction Model and Causal Inference with SHAP Value (증권 금융 상품 거래 고객의 이탈 예측 및 원인 추론)

  • Na, Kwangtek;Lee, Jinyoung;Kim, Eunchan;Lee, Hyochan
    • The Journal of Bigdata
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    • v.5 no.2
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    • pp.215-229
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    • 2020
  • The interest in machine learning is growing in all industries, but it is difficult to apply it to real-world tasks because of inexplicability. This paper introduces a case of developing a financial customer churn prediction model for a securities company, and introduces the research results on an attempt to develop a machine learning model that can be explained using the SHAP Value methodology and derivation of interpretability. In this study, a total of six customer churn models are compared and analyzed, and the cause of customer churn is inferred through the classification and data analysis of SHAP Value and the type of customer asset change. Based on the results of this study, it would be possible to use it as a basis for comprehensive judgment, such as using the Value of the deviation prediction result that can infer the cause of the marketing manager's actual customer marketing in the future and establishing a target marketing strategy for each customer.

DIMPLE-II: Dynamic Membership Protocol for Epidemic Protocols

  • Sun, Jin;Choi, Byung-K.;Jung, Kwang-Mo
    • Journal of Computing Science and Engineering
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    • v.2 no.3
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    • pp.249-273
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    • 2008
  • Epidemic protocols have two fundamental assumptions. One is the availability of a mechanism that provides each node with a set of log(N) (fanout) nodes to gossip with at each cycle. The other is that the network size N is known to all member nodes. While it may be trivial to support these assumptions in small systems, it is a challenge to realize them in large open dynamic systems, such as peer-to-peer (P2P) systems. Technically, since the most fundamental parameter of epidemic protocols is log(N), without knowing the system size, the protocols will be limited. Further, since the network churn, frequently observed in P2P systems, causes rapid membership changes, providing a different set of log(N) at each cycle is a difficult problem. In order to support the assumptions, the fanout nodes should be selected randomly and uniformly from the entire membership. This paper investigates one possible solution which addresses both problems; providing at each cycle a different set of log(N) nodes selected randomly and uniformly from the entire network under churn, and estimating the dynamic network size in the number of nodes. This solution improves the previously developed distributed algorithm called Shuffle to deal with churn, and utilizes the Shuffle infrastructure to estimate the dynamic network size. The effectiveness of the proposed solution is evaluated by simulation. According to the simulation results, the proposed algorithms successfully handle network churn in providing random log(N0 fanout nodes, and practically and accurately estimate the network size. Overall, this work provides insights in designing epidemic protocols for large scale open dynamic systems, where the protocols behave autonomically.

Using Image Visualization Based Malware Detection Techniques for Customer Churn Prediction in Online Games (악성코드의 이미지 시각화 탐지 기법을 적용한 온라인 게임상에서의 이탈 유저 탐지 모델)

  • Yim, Ha-bin;Kim, Huy-kang;Kim, Seung-joo
    • Journal of the Korea Institute of Information Security & Cryptology
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    • v.27 no.6
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    • pp.1431-1439
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    • 2017
  • In the security field, log analysis is important to detect malware or abnormal behavior. Recently, image visualization techniques for malware dectection becomes to a major part of security. These techniques can also be used in online games. Users can leave a game when they felt bad experience from game bot, automatic hunting programs, malicious code, etc. This churning can damage online game's profit and longevity of service if game operators cannot detect this kind of events in time. In this paper, we propose a new technique of PNG image conversion based churn prediction to improve the efficiency of data analysis for the first. By using this log compression technique, we can reduce the size of log files by 52,849 times smaller and increase the analysis speed without features analysis. Second, we apply data mining technique to predict user's churn with a real dataset from Blade & Soul developed by NCSoft. As a result, we can identify potential churners with a high accuracy of 97%.