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Case Study on Telecom Customer Churn_

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Aakansha Yadav
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5 views

Case Study on Telecom Customer Churn_

Uploaded by

Aakansha Yadav
Copyright
© © All Rights Reserved
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Case Study: Leveraging Tableau for In-

Depth Analysis of Telecom Customer


Churn Dynamics

Background:

A leading telecommunications company is experiencing a high rate of customer


churn, which is negatively impacting its revenue and market share. The company
offers various services including mobile, landline, and broadband connections, as
well as additional services such as data plans, roaming packages, and value-added
services. The company wants to understand the underlying reasons for customer
churn and develop strategies to reduce it.

Objective:
The objective of this case study is to perform a comprehensive analysis of customer
churn using Tableau. The analysis aims to identify patterns, trends, and factors
contributing to churn, and to provide actionable insights to the company's
management for implementing targeted retention strategies.

Data Collection:
The company has collected a dataset containing historical customer data,
including demographic information, usage patterns, service subscriptions, billing
details, and churn status. The dataset spans a period of several years and includes
information about both churned and retained customers.

Analysis Steps:

1. Data Exploration and Preparation:


Load the dataset into Tableau and perform data profiling to understand its
structure and contents.
Cleanse the data by handling missing values, outliers, and inconsistent entries.
Create calculated fields to derive important metrics such as customer tenure, total
spending, usage intensity, etc.
2. Exploratory Data Analysis (EDA):
Visualize the overall churn rate over time to identify any seasonal trends or
fluctuations.
Analyze the distribution of churned customers based on demographics (age,
gender, location) to identify potential patterns.
Compare the service subscriptions and usage patterns of churned and retained
customers to identify any significant differences.

3. Customer Segmentation:
Employ clustering techniques to segment customers based on their behavior,
usage, and spending patterns.
Create visualizations to showcase these segments and identify which segments
have the highest churn rates.

4. Customer Journey Analysis:


Create a visual representation of the typical customer journey from onboarding to
churn.
Identify key touchpoints or stages where customers are most likely to churn.

5. Interactive Dashboards:
Develop interactive dashboards to provide an overview of the churn situation,
allowing stakeholders to explore data on their own.

6. Recommendations:
Based on the insights gathered, provide actionable recommendations to the
company to reduce churn.
Suggest personalized retention strategies for different customer segments.

7. Monitoring and Reporting:


Set up a mechanism to continuously monitor churn rates and the effectiveness of
implemented strategies.
Generate periodic reports and visualizations to track progress and make data-
driven decisions.

Outcome:
Through this Tableau-based analysis, the telecommunications company gains a
deeper understanding of customer churn patterns and the underlying factors
driving churn. The actionable insights derived from the analysis help the company
implement targeted strategies to reduce churn and improve customer retention,
ultimately leading to increased revenue and market share.

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