O'Reilly logo

Statistical Methods in Customer Relationship Management by J. Andrew Petersen, V. Kumar

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

Customer retention – SAS output

img

img

img

img

img

img

img

img

Notes

1. A random guess model would do the following. First, it would determine which bucket acquire or not acquire has more customers in it. In this case 2678 customers purchased versus 2822 who did not. Then it would predict that all customers would not purchase and it would be accurate 51.3% of the time (2822/5500).

2. A random guess model would do the following. First, it would determine which bucket cross-buy or not cross-buy has more instances in it. In this case 1361 cross-buy occasions happened versus 1317 that did not. Then it would predict that all customers would cross-buy and it would be accurate 50.8% of the time (1361/2678).

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required