Predictive Algorithm for Churn analysis

Hi,
Can anybody help me with the algorithm which I can use for churn analysis?
Thanks,
Atul

Hi Atul,
For Churn analysis or what is usually referred to as a binary classification problem where the customer is either staying or leaving=churning I would suggest one of the following algorithms:
CNR Decision Tree - which also provides a decision tree to explain which feature split is influencing the target (churn) the most.
You could also chose one of the R based Neural Network algorithms, however the produced predictive model & results are usually hard to explain.
If need be you can enhance the number of available algorithms by adding you own R functions - there are a lot of examples in this community.
If you have SAP HANA you could also chose:
Decision Trees:C4.5, CHAID or CART (new in SAP HANA SP08).
Other supervised learning algorithms for binary classification: Naive Bayes or SVM (Support Vector Machine).
There are a lot more but this should get you started.
Best regards,
Kurt Holst

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