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Logistic Regression Individual Assignment

The company is experiencing customer churn in their hyperlocal grocery delivery business. They have identified customers as churned or active but want to better understand why customers churn and how to retain them. The document asks the assistant to build a logistic regression model to predict churn using a training dataset of customers, score a test dataset with the model, and classify those customers as churned or active. Evaluation will be based on the AUC, accuracy, and insights from the model.
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0% found this document useful (0 votes)
47 views

Logistic Regression Individual Assignment

The company is experiencing customer churn in their hyperlocal grocery delivery business. They have identified customers as churned or active but want to better understand why customers churn and how to retain them. The document asks the assistant to build a logistic regression model to predict churn using a training dataset of customers, score a test dataset with the model, and classify those customers as churned or active. Evaluation will be based on the AUC, accuracy, and insights from the model.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Logistic Regression Assignment (Individual)

The attached data is related to a company that is running an internet based hyperlocal operation –
sourcing grocery, fresh produce and food from local businesses and delivering to customer at
conveniently placed pickup locations. The company has been noticing that some of their customers
are not spending money with their organization and probably are sourcing their products from
elsewhere. There is no subscription plan and so the organization does not have a clear idea of when
a customer has ‘churned’. Using certain heuristics, they have now identified customers as churned or
active.

Since customers placed their orders online, the company had a large and detailed database of
customer orders – with data like when the customers placed orders, order history, what they
ordered etc. The management is keen to use this data to understand if it can be used to gain insights
that can help retain customers.

Please use the attached training dataset that has a mix of churned and active customers to build a
logistic model to predict churn. Once you finalize the model, score the test dataset, and based on
the cutoff you have decided, classify the observations as churned or active.

Evaluation will be based on the following

AUC 10 (Scaled)
Accuracy 5 (Scaled)
Insights 5

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