Skip to content

SabaAttar/Telecom-Customer-Churn-Analysis

Repository files navigation

📊 Telecom Customer Churn Analysis

📌 Problem Statement

Customer churn is a critical challenge in the telecom industry, where customers frequently switch service providers due to competitive pricing, service quality, and better offers. High churn rates directly impact revenue, profitability, and business growth.

This project analyzes telecom customer data to identify key factors driving churn and provide actionable insights to improve customer retention.

This project simulates a real-world business scenario where telecom companies use data analytics to identify high-risk customers and implement effective retention strategies.


📂 Dataset

  • Source: IBM Telco Customer Dataset
  • Total Records: 7,000+ customers
  • Description: Includes customer demographics, service subscriptions, account details, and churn status

🛠 Tools & Technologies

  • Power BI – Data cleaning, transformation, and dashboard development

📌 Key Metrics

  • Total Customers
  • Total Churn
  • Churn Rate
  • Average Monthly Charges

📊 Key Analysis Performed

  • Calculated overall churn rate
  • Analyzed churn by contract type
  • Evaluated churn across internet service categories
  • Performed customer segmentation based on tenure
  • Analyzed monthly charges vs churn behavior
  • Studied impact of payment methods on churn

⚠️ Challenges Faced & Solutions

1️⃣ Data Quality Issues

  • Problem: The dataset contained missing and inconsistent values, particularly in fields like TotalCharges, affecting data reliability
  • Solution: Performed data cleaning and preprocessing using Power BI Power Query to handle missing values and ensure data consistency

2️⃣ Data Type Inconsistency

  • Problem: Certain numerical fields were stored as text, leading to incorrect aggregations and calculations
  • Solution: Converted columns to appropriate data types to enable accurate analysis and reporting

3️⃣ Lack of Direct Indicators for Churn Drivers

  • Problem: The dataset lacked explicit indicators explaining why customers churned
  • Solution: Created derived features such as tenure groups and performed segmentation analysis to uncover hidden patterns

4️⃣ Identifying Key Churn Drivers

  • Problem: Multiple variables influenced churn, making it challenging to isolate the most impactful factors
  • Solution: Conducted comparative visual analysis across dimensions like contract type, tenure, and monthly charges to identify primary churn drivers

📸 Dashboard Screenshots

Churn Overview

Churn Overview

Customer Demographics

Customer Demographics

Revenue & Risk Analysis

Revenue & Risk


🔍 Key Insights

  • Around 26% of customers have churned
  • Month-to-month contract customers have the highest churn rate
  • Customers with higher monthly charges are more likely to churn
  • New customers (low tenure) show higher churn probability
  • Fiber optic users have higher churn compared to DSL users

💡 Business Recommendations

  • Promote long-term contracts to reduce churn
  • Offer targeted discounts for high monthly charge customers
  • Improve service quality for high-risk customer segments
  • Focus retention strategies on new customers

🚀 Business Impact

This project simulates a real-world telecom analytics scenario where identifying high-risk customers enables companies to take proactive measures, reduce churn, and improve customer lifetime value.


📁 Project Structure

Telecom-Customer-Churn-Analysis │ ├── dataset/ ├── dashboard/ ├── README.md


🚀 Conclusion

These dashboards help analyze customer churn patterns, uncover key drivers of attrition, and provide actionable insights to enhance customer retention strategies and minimize revenue loss.


🔗 Connect With Me

Author: SABA ATTAR

  • Key Skills: MS Power BI, SQL, Tableau, MS Excel, Python etc..

⭐ If you found this project useful, feel free to star the repository!

About

Power BI dashboard analyzing customer churn behavior, revenue impact, and risk segmentation.

Resources

Stars

Watchers

Forks

Releases

No releases published

Packages

 
 
 

Contributors