Project- Part A: Airbnb Price Prediction and Insights
1. Overview
Airbnb provides a platform for property owners to rent out their spaces to travelers. Pricing a
listing effectively is critical for maximizing revenue while staying competitive in the market.
For hosts, understanding what factors influence the price of their listings is essential.
This project aims to build a machine learning model to predict the price of Airbnb listings
based on various features such as property type, room type, location, amenities, and host
characteristics. By analyzing these factors, this project will provide actionable insights to
Airbnb hosts to optimize their listing prices.
2. Problem Statement
The primary objective of this project is to develop a regression model that predicts the price
of an Airbnb listing. Using features such as property type, room type, number of reviews,
location, and amenities, the model will aim to estimate the price accurately.
The insights derived from this analysis will help Airbnb hosts understand the key drivers of
price, enabling them to make data-driven decisions for pricing their properties. Additionally,
the project will help Airbnb refine its recommendations for pricing to improve host and guest
satisfaction.
3. Dataset Information
Dataset: Airbnb_data
The dataset information can be found in this doc Data Information.
4. Deliverables
1. Data Exploration and Preprocessing (10 Marks):
o Analyze the dataset for trends, missing values, and outliers.
o Perform data cleaning, feature engineering, and transformations.
2. Model Development (20 Marks):
o Build a regression model to predict listing prices.
3. Model Evaluation (10 Marks):
o Evaluate the model’s performance using appropriate metrics like RMSE,
MAE, and R².
4. Final Report and Presentation (10 Marks):
o Final video clip of candidate summarizing the entire process of the project as
the presentation. (Note: Video should not exceed 5 mins)
5. Success Criteria
The project will be deemed successful if:
● The regression model achieves acceptable performance metrics (e.g., RMSE and R²)
on test data.
● Insights about the factors influencing Airbnb prices are effectively communicated to
stakeholders.
● Predictions for new listings can be made with reasonable accuracy.
6. Guidelines
● Data Splitting: Divide the data into training, validation, and testing sets to ensure
robust evaluation.
● Feature Engineering: Extract meaningful features, such as neighborhood popularity,
number of amenities, and host activity metrics.
● Model Tuning: Experiment with different models and tune hyperparameters to
optimize performance.
● Visualizations: Use charts and graphs to present data trends and model results
clearly.
● Interpretability: Ensure the model is interpretable and actionable for non-technical
stakeholders.
7. Tools Required
● Python Libraries: pandas, numpy, scikit-learn, matplotlib, seaborn, XGBoost, etc.
● Jupyter Notebook: For developing and documenting code.
Part B: Customer Churn Prediction
1. Overview
Customer churn, or customer attrition, refers to when a customer ceases their relationship
with a company or service provider. In today's highly competitive business environment,
retaining customers is a critical factor for long-term success. Predicting customer churn can
help organizations take proactive steps to retain customers, thus minimizing revenue loss.
This project aims to build a machine learning model that can predict whether a customer will
churn based on their demographic, account, and service-related data.
2. Problem Statement
The goal of this project is to develop a classification model that predicts whether a customer
will churn. Using demographic data (such as gender, senior citizen status, and tenure), along
with information about the services they use (such as internet service, phone service, and
online security), we will attempt to build a model that helps the company identify customers
who are at a high risk of churning.
By predicting customer churn, the company can proactively design retention strategies to
keep these customers, thereby improving customer satisfaction and reducing financial loss.
3. Dataset Information
Dataset: Customer_data
The dataset information can be found in this doc Data Information.
4. Deliverables
● A data exploration and preprocessing notebook or report that analyzes the dataset,
handles missing values, and prepares the data for modeling. (10 Marks)
● A machine learning model capable of predicting customer churn. (20 Marks)
● An evaluation of model performance using appropriate metrics (such as accuracy,
precision, recall, F1 score, etc.). (10 Marks)
● Final video clip of candidate summarizing the entire process of the project as the
presentation. (Note: Video should not exceed 5 mins) (10 Marks)
5. Success Criteria
The success of the project will be determined by the following:
● Proper interpretation of the model’s output, providing actionable insights to reduce
customer churn.
● Get the predictions for the new data.
6. Guidelines
● Make sure to split your data into training and testing sets to avoid overfitting.
● Tune the hyperparameters of your models to improve performance.
● Report all the steps taken in the data preprocessing, modeling, and evaluation
phases.
● Provide a final model that balances accuracy with interpretability.
7. Tools Required
● Python (with libraries such as pandas, scikit-learn, matplotlib, seaborn, etc.)
● Jupyter Notebook or any IDE suitable for running Python code.
Submit Guidelines
● Submit your ipynb/ folder.
● Create 2 videos of maximum of 5 mins explaining the analysis for each Part and
share the drivelink along with the folder.
How to ZIP a PDF file:
● Put all of the documents/ipynb you want to compress (or just one) into a new folder.
● Right click on that folder.
● Select the “Compress to ZIP file” option and then click “Compressed (Zipped) folder.”
● Anew.ZIP file will be created that contains your document(s).
Note:
● Plagiarism will result in a penalty, including possible project disqualification.
● The project will be evaluated based on the quality of analysis, depth of insights, and
feasibility of recommendations.
● If the student sets their own criteria, they need to clearly mention and explain it.Marks will
be given according to the specified criteria if they are acceptable.
● Remember to keep the video length less than 5 minutes with your face clearly visible.
