Beginner

Data & Features for Churn Prediction

The best churn models are built on rich, multi-dimensional data. Learn which behavioral signals, usage patterns, and customer health indicators are most predictive of attrition and how to engineer features that capture early warning signs.

Key Feature Categories

CategoryExamplesPredictive Power
Usage PatternsLogin frequency, feature adoption, session durationVery High
Engagement TrendsWeek-over-week usage change, declining activityVery High
Support InteractionsTicket volume, complaint severity, resolution satisfactionHigh
Contract DetailsContract length, renewal date proximity, payment historyHigh
Customer ProfileIndustry, company size, plan type, customer tenureMedium
Sentiment SignalsNPS scores, survey responses, social media mentionsMedium

Feature Engineering for Churn

  • Trend Features: Calculate the slope of key metrics over 7, 14, 30, and 90 day windows. A declining login trend is far more predictive than a single snapshot of login count.
  • Ratio Features: Compare current period usage to historical averages (e.g., this month's logins vs. average monthly logins). Values below 0.5 are strong churn signals.
  • Recency Features: Days since last login, last purchase, last support interaction, and last feature usage. Increasing recency is a key early indicator.
  • Engagement Depth: Track breadth of feature usage, not just frequency. Customers using only 1-2 features are more at risk than those deeply integrated across the product.
  • Support Sentiment: Apply NLP to support tickets to extract frustration levels, competitive mentions, and cancellation intent signals.

The Customer Health Score

💚

Healthy (80-100)

Active usage, growing engagement, positive support interactions, on-time payments, and expanding feature adoption. Low intervention needed.

💛

At Risk (50-79)

Declining engagement trends, reduced feature usage, or recent negative support experiences. Proactive outreach recommended.

🟠

Warning (25-49)

Significant usage drops, multiple support complaints, missed payments, or competitive evaluation signals. Urgent intervention required.

🔴

Critical (0-24)

Near-zero engagement, cancellation inquiries, or explicit dissatisfaction signals. Executive-level save attempt may be warranted.

Pro Tip: The single most predictive churn feature across industries is the rate of change in engagement, not the absolute level. A power user whose login frequency drops 50% is at higher risk than a light user with stable usage patterns.