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Monitoring and backtesting churn models

Authors
Journal
Expert Systems with Applications
0957-4174
Publisher
Elsevier
Publication Date
Volume
38
Issue
1
Identifiers
DOI: 10.1016/j.eswa.2010.07.091
Keywords
  • Backtesting
  • Data Mining
  • Churn
  • Monitoring

Abstract

Abstract The evaluation of the relationship with the customer and related benefits has become a key point for a company’s competitive advantage. The development of customer churn models has increased over the years. However, these models tend to be complex and used on demand, being developed every time the customer analysis is requested. The main contribution of this article is to demonstrate how a backtesting framework can be used for churn evaluation, enabling the validation and monitoring process for the generated churn models.

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