Success Story
85% accuracy in Customer Churn Prediction for a leading Bakery Ingredients Manufacturer
About the Client
A leading bakery ingredients manufacturer based in the US
Challenges
- Our client, a leading bakery ingredient manufacturer was catering to bakeries, supermarkets or specialty stores. However, a high majority of their customers were going inactive or churning just after a few orders
- The client wanted to understand the reason behind high inactivity/churn risk propensity and take proactive measures to eradicate customer churn
Solutions
Innover leveraged its proprietary Analytics Platform - LEAPTM ready-to-use algorithms for customer churn prediction to resolve client issues with speed and precision
1.Our experts analyzed historical data (customer profiles, product data, contract data, churn/ inactivity related data, miscellaneous data like rejected orders, repeat cancellations etc.) from heterogenous sources to create new features and defined dependent variables to predict the churn risk score
2.The team also leveraged Model Generation methods – Decision Tree classifier, Random Forest Classifier and others to derive customer risk scores as output, along with key factors for churn/inactivity
Impact Delivered
85%
Accuracy in identifying businesses likely to churn
30%
Reduction in revenue loss