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Analyzing Customer Churn in Excel

📖 Background

Are you ready to apply your Excel skills? For subscription-based businesses, reducing customer churn is a top priority. In this Excel competition, you'll investigate a dataset from telecom company Databel and analyze their churn rates.

Analyzing churn doesn’t just mean knowing the churn rate: it’s also about figuring out why customers are churning at the rate they are and how to reduce churn. Answer these questions by creating calculated columns, building PivotTables, and creating an eye-catching dashboard.

Use this Datalab workbook to download the data and import it in Excel on your machine. When you're finished, share your work by attaching your .xlsx file to this workbook. To do so, click File > Show workbook files, and then upload the file, or by dragging and dropping the file on the editor.

📷 Dashboard screenshot

🧾 Executive summary

  • Average Customer Churn is 26.86%
  • Churn rates are higher among older age groups, and within newer customers.
  • The main reasons given by customers for leaving often relate to the offerings made by Databel's competitors.
  • Customers on an unlimited data plan who are downloading on average less than 3Gb of data a month are being charged nearly three times as much as those who are not on an unlimited data plan. This category group has a higher than average churn rate, are there customers for whom the unlimited data plan is not appropriate and could they be saving money by not being on that plan?
  • Customers placing more than two service calls have a very high churn rate - can Databel do more to retain these customers when they receive the initial customer service call?

    • 💾 The data

    The data consists of four parts:

    • Customer status: the status and reason why customers churned
    • Demographics: demographic data on each customer
    • Contract information: information on the type of contract
    • Subscription types & charges: numerical data on how the customer uses his subscription

    More information about the data can be found here.