Understand and Combat Subscriber Churn with Data Science
This post explains how to understand customer behavior correlation and how it impacts your churn reduction strategies. Why Should you Care About Correlation Between Customer Behavior? My last post was on understanding customer behavior and churn. I demonstrated that customer metrics show you a lot about customer health. But many customer behaviors are closely related. […]
It’s time to do what you came here for: Understand why your customers churn! And what keeps them engaged. You may think that in this post I’m going to dive into some serious statistics or machine learning, or brag about the latest Deep Learning algorithm I’m using. Actually, I will demonstrate a simple but robust […]
Creating A Churn Dataset in the process of fighting churn with data The scenario in this blog post assumes you have already created some behavioral metrics (as described in User Metrics 101) and calculated some kind of churn rate measurement (How to Calculate Churn With SQL.) This post describes a preparation step for the churn […]
This post is about one of the most important topics in data science: Feature Engineering! More specifically, how to create great customer metrics for understanding churn, using feature engineering techniques. If you are operating any kind of product or service with repeated interactions with users or customers then you are probably collecting data about those […]
What is this about, Fighting Churn with Data? I’m not an artist (disclaimer), but I drew a picture AKA “the mental model” for the book. My publisher told me that it’s okay to draw pictures on a napkin and they’ll have a designer touch it up later, but I drew stick figures in PowerPoint instead […]
A recent survey I ran shows serious limits to what AI can do in the near term: The survey found that fewer than 50% of respondents would trust an AI if there was $1,000 or more at stake based on the decisions of the AI. So trust in AI disappears fast when there is serious […]
Lots of people talk about churn, but not everyone knows how to calculate it! In this post I’ll show you how to calculate the churn rate with SQL for a typical subscription database. The usual scenario is that subscription data is stored in a database, and you are going to figure out which accounts churned […]
How to reduce churn with data science The answer will surprise you. Over the last few years I have analyzed churn at more than 50 companies, in my roles as Chief Data Scientist at Zuora*. What I have found is that in order to reduce churn with data science you don’t use the latest AI […]
Top 3 Lessons from Zuora’s new update to the Subscription Economy Index which I created: 1. Subscription companies are Killing It. Subscription sales expanded at a record 24% for the year ending in March. In comparison, traditional economy sales growing in the low single digits. 2. But the laws of physics still apply. In Q2 […]