Dalarna University's logo and link to the university's website

du.sePublications
Change search
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • chicago-author-date
  • chicago-note-bibliography
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf
Predicting Customer Churn in a Subscription-Based E-Commerce Platform Using Machine Learning Techniques
Dalarna University, School of Information and Engineering.
2024 (English)Independent thesis Advanced level (degree of Master (Two Years)), 20 credits / 30 HE creditsStudent thesis
Abstract [en]

This study investigates the performance of Logistic Regression, k-Nearest Neighbors (KNN), and Random Forest algorithms in predicting customer churn within an e-commerce platform. The choice of the mentioned algorithms was due to the unique characteristics of the dataset and the unique perception and value provided by each algorithm. Iterative models ‘examinations, encompassing preprocessing techniques, feature engineering, and rigorous evaluations, were conducted. Logistic Regression showcased moderate predictive capabilities but lagged in accurately identifying potential churners due to its assumptions of linearity between log odds and predictors. KNN emerged as the most accurate classifier, achieving superior sensitivity and specificity (98.22% and 96.35%, respectively), outperforming other models. Random Forest, with sensitivity and specificity (91.75% and 95.83% respectively) excelled in specificity but slightly lagged in sensitivity. Feature importance analysis highlighted "Tenure" as the most impactful variable for churn prediction. Preprocessing techniques differed in performance across models, emphasizing the importance of tailored preprocessing. The study's findings underscore the significance of continuous model refinement and optimization in addressing complex business challenges like customer churn. The insights serve as a foundation for businesses to implement targeted retention strategies, mitigating customer attrition, and promote growth in e-commerce platforms.

Place, publisher, year, edition, pages
2024.
Keywords [en]
Customer churn prediction, E-commerce, Machine learning algorithms, Logistic Regression, k-Nearest Neighbors (KNN), Random Forest, Feature engineering, Preprocessing techniques, Model evaluation, performance measures, supervised machine learning, classification, confusion matrix.
National Category
Computer Sciences
Identifiers
URN: urn:nbn:se:du-48495OAI: oai:DiVA.org:du-48495DiVA, id: diva2:1857189
Subject / course
Microdata Analysis
Available from: 2024-05-13 Created: 2024-05-13

Open Access in DiVA

fulltext(1086 kB)362 downloads
File information
File name FULLTEXT01.pdfFile size 1086 kBChecksum SHA-512
21d157190cea39f140b1e045262567847d396ab6889aa9ac43a51c3856f297c6d9ffcf9343f00a646c090e7f0bc62834ea4c8fe53b2984add073e62522327bfe
Type fulltextMimetype application/pdf

By organisation
School of Information and Engineering
Computer Sciences

Search outside of DiVA

GoogleGoogle Scholar
Total: 362 downloads
The number of downloads is the sum of all downloads of full texts. It may include eg previous versions that are now no longer available

urn-nbn

Altmetric score

urn-nbn
Total: 1488 hits
CiteExportLink to record
Permanent link

Direct link
Cite
Citation style
  • apa
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • chicago-author-date
  • chicago-note-bibliography
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf