Churn (or attrition) refers to when your customers decide to stop doing business with you. In the context of your business that could mean they've unsubscribed, stopped purchasing for a while, or deleted their accounts.
How does it work?
By analyzing your data we train a classification machine learning model, tailored for your business, capable of predicting when your customers are likely to churn.
Predicting churn is commonly referred to as a 'classification' problem (customers either churn or are retained for a given time period).
Automated tasks such as logistic regression gives us the ability to find the points in your data that are most critical for predicting churn. The next step in the process involves the classification, i.e.: using the model to pinpoint customers that are at risk of churning.
Knowing which customers are likely to churn is an excellent weapon a marketer has at maximizing retention.