Customer churn classification in telecommunication company using rough set theory

Churn is perceived as the behaviour of a customer to leave or to terminate a service. This behaviour causes the loss of profit to companies because acquiring new customer incurred high investment for advertisements and promotions compared to retaining existing ones. Thus, it is necessary to consider...

Full description

Bibliographic Details
Main Author: Nur Syafiqah, Mohd Nafis
Format: Thesis
Language:English
Published: 2016
Subjects:
Online Access:http://umpir.ump.edu.my/id/eprint/16930/1/Customer%20churn%20classification%20in%20telecommunication%20company%20using%20rough%20set%20theory.pdf
_version_ 1825823597297401856
author Nur Syafiqah, Mohd Nafis
author_facet Nur Syafiqah, Mohd Nafis
author_sort Nur Syafiqah, Mohd Nafis
collection UMP
description Churn is perceived as the behaviour of a customer to leave or to terminate a service. This behaviour causes the loss of profit to companies because acquiring new customer incurred high investment for advertisements and promotions compared to retaining existing ones. Thus, it is necessary to consider an efficient classification model to reduce the rate of churn. In the traditional approach of classification modelling, it do not produce straightforward result interpretation. Therefore, identifying the best classification model to reduce the rate of churn is indeed a challenging task. The main objective of this thesis is to propose a new classification model based on the Rough Set Theory to classify customer churn. This research utilized the Knowledge Discovery in Database (KDD) process involving data pre-processing, data discretization, attribute reduction, rule generation, classification process, as well as data analysis, using the Rough Set toolkit. The Rough Set theory elements consist of indiscernibility relation, lower and upper approximations, as well as reduction set. Those elements are applied to classify customer chum from uncertain and imprecise dataset. The results of the proposed model are compared with a few established existing approaches. The results of the study show that the proposed classification model outperformed the existing models and contributes to significant accuracy improvement. The model is tested using dataset form local telecommunication company which achieves 90.32%. In conclusion, the results proved that the classification model based on Rough Set Theory had been capable to classify customer chum compared to the existing model.
first_indexed 2024-03-06T12:13:34Z
format Thesis
id UMPir16930
institution Universiti Malaysia Pahang
language English
last_indexed 2024-03-06T12:13:34Z
publishDate 2016
record_format dspace
spelling UMPir169302023-05-30T07:54:42Z http://umpir.ump.edu.my/id/eprint/16930/ Customer churn classification in telecommunication company using rough set theory Nur Syafiqah, Mohd Nafis QA Mathematics QA75 Electronic computers. Computer science Churn is perceived as the behaviour of a customer to leave or to terminate a service. This behaviour causes the loss of profit to companies because acquiring new customer incurred high investment for advertisements and promotions compared to retaining existing ones. Thus, it is necessary to consider an efficient classification model to reduce the rate of churn. In the traditional approach of classification modelling, it do not produce straightforward result interpretation. Therefore, identifying the best classification model to reduce the rate of churn is indeed a challenging task. The main objective of this thesis is to propose a new classification model based on the Rough Set Theory to classify customer churn. This research utilized the Knowledge Discovery in Database (KDD) process involving data pre-processing, data discretization, attribute reduction, rule generation, classification process, as well as data analysis, using the Rough Set toolkit. The Rough Set theory elements consist of indiscernibility relation, lower and upper approximations, as well as reduction set. Those elements are applied to classify customer chum from uncertain and imprecise dataset. The results of the proposed model are compared with a few established existing approaches. The results of the study show that the proposed classification model outperformed the existing models and contributes to significant accuracy improvement. The model is tested using dataset form local telecommunication company which achieves 90.32%. In conclusion, the results proved that the classification model based on Rough Set Theory had been capable to classify customer chum compared to the existing model. 2016 Thesis NonPeerReviewed pdf en http://umpir.ump.edu.my/id/eprint/16930/1/Customer%20churn%20classification%20in%20telecommunication%20company%20using%20rough%20set%20theory.pdf Nur Syafiqah, Mohd Nafis (2016) Customer churn classification in telecommunication company using rough set theory. Masters thesis, Universiti Malaysia Pahang (Contributors, Thesis advisor: Makhtar, Mokhairi).
spellingShingle QA Mathematics
QA75 Electronic computers. Computer science
Nur Syafiqah, Mohd Nafis
Customer churn classification in telecommunication company using rough set theory
title Customer churn classification in telecommunication company using rough set theory
title_full Customer churn classification in telecommunication company using rough set theory
title_fullStr Customer churn classification in telecommunication company using rough set theory
title_full_unstemmed Customer churn classification in telecommunication company using rough set theory
title_short Customer churn classification in telecommunication company using rough set theory
title_sort customer churn classification in telecommunication company using rough set theory
topic QA Mathematics
QA75 Electronic computers. Computer science
url http://umpir.ump.edu.my/id/eprint/16930/1/Customer%20churn%20classification%20in%20telecommunication%20company%20using%20rough%20set%20theory.pdf
work_keys_str_mv AT nursyafiqahmohdnafis customerchurnclassificationintelecommunicationcompanyusingroughsettheory