Customer Churn
Customer churn, also known as customer attrition, is a business metric that measures the rate at which customers stop doing business with a company over a specific period. It is a critical concept in customer relationship management and analytics, often used to assess customer retention and loyalty. In data science and business intelligence, churn analysis involves predicting which customers are likely to leave, enabling proactive retention strategies.
Developers should learn about customer churn when working on data-driven applications, especially in industries like telecommunications, SaaS, e-commerce, and finance, where customer retention directly impacts revenue. It is essential for building predictive models, dashboards, and analytics tools that help businesses reduce churn by identifying at-risk customers and implementing targeted interventions. Understanding churn concepts is crucial for roles involving data analysis, machine learning, and business intelligence development.