Churn Rate Analysis

Neural networks for telecom churn prediction — identifying at-risk customers early and supporting targeted, cost-effective retention strategies.

Neural Networks Telecoms Churn Prediction Retention Strategy
Churn Rate Analysis

The Problem

Telecom operators lose significant revenue when customers churn. Without a way to predict who is likely to leave, retention efforts are spread thinly across the entire base and often applied too late to make a difference.

The business needed a model that could flag high-risk customers in advance and support targeted, cost-effective retention campaigns — focusing spend where it actually matters.

What I Built

I took customer and usage data — tenure, usage patterns, complaints, and contract type — and prepared it for modelling: handling missing values, encoding categories, and engineering features that capture behaviour over time.

I built and compared several classifiers with a focus on neural networks, tuning hyperparameters and applying cross-validation to avoid overfitting. The priority was strong recall on churners — catching most at-risk customers — without contacting the entire base unnecessarily.

Data Prep Missing values, encoding, feature engineering
Model Training Neural networks + classifier comparison
Tuning Hyperparameter search + cross-validation
Evaluation Precision, Recall, AUC-ROC
Explainability Feature importance & error analysis
Deliverable Trained model + scoring script + report
Precision
Recall
AUC-ROC
Cross-Validation

Outcome

The business gained a data-driven way to rank customers by churn risk and design targeted retention interventions — such as offers or direct outreach — for the highest-risk segment, improving the efficiency of retention spend.

  • Neural network classifier trained on real telecom customer data
  • High-recall model catches most at-risk customers before they leave
  • Feature importance analysis explains key drivers of churn
  • Scoring script to rank new customers by risk level
  • Short report with model findings and retention recommendations
  • More efficient retention campaigns — targeted, not blanket