Identification of customer churn determinants using censored log file data in the Iranian mobile telecommunications service industry. (1st January 2011)

• Record Type: Journal Article
• Authors: Keramati, Abbas; Azadeh, Ali; Mohammadi, Mehrdad; Rostami, Hamideh
• Is Part Of: International journal of electronic customer relationship management. Volume 5:Number 2(2011)
• Page Start: 111
• Page End: 129
• Publication Date: 2011-01-01
• Subjects: churn analysis -- survival analysis -- censored data -- Cox regression -- Iran; Customer relations -- Management -- Data processing -- Periodicals; Electronic commerce -- Periodicals; 658.8120285
• Languages: English
• ISSNs: 1750-0664

Abstract

Retaining customers is one of the most critical challenges in the maturing mobile telecommunications service industry. Therefore, as one of the most important part of customer relationship management (CRM) strategy, a lot of researchers try to know the reason of their switching. In this paper by using a Cox regression model based on a survey of 3, 150 mobile users in Iran, the determinants of subscriber churn and customer loyalty are identified in the Iranian mobile telephony market. We consider the remaining customer as a right-censored data. In this paper, we present the hazard function for each remaining customer. The probability that a subscriber will switch carrier is dependent on the level of satisfaction with alternative specific service attributes including call failure, tariff plan, complains, charge amount, seconds of use, frequency of use, frequency of SMS, distinct called numbers, age group, subscription length, and status.