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📉 Telco Customer Churn Analysis

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🏷️ Project Tagline

Analyzing customer churn drivers to design retention strategies and protect revenue.


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Python SQL Excel Data Visualization Status


📘 Executive Summary

This project analyzes a dataset of 7,043 customers, where 26.5% (1,869) have churned. The analysis identifies key churn drivers across internet service type, support/protection services, contract length, and payment methods. Insights are translated into actionable recommendations for retention campaigns and business impact projections.


🔍 Key Findings

  1. Internet Service Type

    • Fiber optic users churn at ~42% (highest).
    • DSL users churn at ~19%.
    • No internet service churn at ~8%.
  2. Support & Protection Services

    • Lack of Online Security, Backup, or Tech Support increases churn risk by 20–25 percentage points.
  3. Streaming Services

    • Streaming TV/Movies show negligible impact (~35% churn both groups).
  4. Phone Service & Multiple Lines

    • Minimal influence on churn (~25–26%).
  5. Contracts & Billing

    • Month‑to‑month contracts: ~43% churn.
    • One‑year contracts: ~11% churn.
    • Two‑year contracts: ~3% churn.
    • Electronic check payments: ~45% churn vs. ~15% for credit card/bank transfer.

🎯 Recommendations

  • Retention Campaigns for Fiber Optic Customers: Loyalty discounts, service quality guarantees.
  • Bundle Support Services: Promote Online Security, Backup, Tech Support packages.
  • Contract Incentives: Encourage one‑ and two‑year contracts with rewards.
  • Payment Method Optimization: Incentivize auto‑pay via credit card/bank transfer.
  • Customer Education: Communicate benefits of bundled services and long‑term contracts.

📈 Business Impact Projection

If 20% of fiber optic customers adopt bundled support services and switch to annual contracts:

  • ~400 customers retained annually.
  • ~$400K–$600K revenue retained per year (assuming $1,000–$1,500 average annual revenue per customer).

🛠️ Tech Stack

  • Python → Pandas, NumPy, Matplotlib, Seaborn (EDA & visualization)
  • SQL → Business queries, churn segmentation
  • Excel → Dashboard design, KPI reporting

👩‍💻 Author

Pooja — Aspiring Data Analyst | IBM Certified | Skilled in Excel, SQL, and Python
📍 New Delhi, India

About

📉 Telco Customer Churn Analysis using Python, SQL, and Excel. Explored 7,043 customers with 26.5% churn, identifying key drivers like fiber optic service, lack of support features, month‑to‑month contracts, and electronic check payments. Delivered retention strategies with projected $400K–$600K annual savings.

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