Cited by 411Customer churn and segmentationData Mining and Machine Learning ApplicationsImbalanced Data Classification Techniques

Bagging and Boosting Classification Trees to Predict Churn

Open access
Lemmens, Aurélie, Croux, Christophe·2006·Journal of Marketing Research

Abstract

In this article, the authors explore the bagging and boosting classification techniques. They apply the two techniques to a customer database of an anonymous U.S. wireless telecommunications company, and both significantly improve accuracy in predicting churn. This higher predictive performance could ultimately lead to incremental profits for companies that use these methods. Furthermore, the results recommend the use of a balanced sampling scheme when predicting a rare event from large data sets, but this requires an appropriate bias correction.

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Crossref · 10.1509/jmkr.43.2.276

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  • Classification trees are a suitable technique for predicting customer behavior.

    “According to the study of Lemmens and Croux (2006), classification trees are a suitable technique for predicting customer behavior.”

    From Forecasting the next likely purchase events of insurance customers: A case study on the value of data-rich multichannel environments (2018) · cites this paper as Lemmens and Croux (2006)

    The Results and Conclusions (page unavailable) support bagged and boosted classification trees for predicting customer churn. The claim broadens that finding to customer behavior generally and does not distinguish the ensembles from a single classification tree, which the Results say performed worse than the logit benchmark in this application. (LLM, conf=0.84)

    Experimental — accuracy not yet measured

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Cites

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Research works printed but not linked: 5

  1. [11]11. Cardell, Scott N., Mikhail Golovnya, and Dan Steinberg (2003), "Churn Modeling for Mobile Telecommunications: Winning the NCR Teradata Center for CRM at Duke University -Salford Systems," 2003 INFORMS Marketing Science Conference, Maryland.
  2. [16]16. Currim, Imran S., Robert J. Meyer, and Nhan T. Le (1988), "Disaggregate Tree- Structure Modelling of Consumer Choice Data," Journal of Marketing Research, 25, 253- 265.
  3. [23]23. ----, Trevor Hastie, and Robert Tibshirani (2000), "Additive Logistic Regression: a Statistical View of Boosting," The Annals of Statistics, 28, 337-407.
  4. [29]29. Haughton, Dominique and Samer Oulabi (1993), "Direct marketing modeling with CART and CHAID," Journal of Direct Marketing, 7, 16-26.
  5. [41]41. The Wall Street Journal Europe (2000), "Fighting the Fickle," September 18.

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Authors
Lemmens, A., & Croux, C.
Affiliations
KU Leuven (BE)
Corresponding author
  • Lemmens, Aurélie
  • Croux, Christophe
Venue
Journal of Marketing Research
Published
2006-05
Volume
43
Issue
2
Pages
276-286
ISSN
  • 0022-2437 (ISSN-L)
  • 1547-7193
OpenAlex
W2026219386
Cited by
411
References
52
Citations by year
2026: 15 · 2025: 15 · 2024: 17 · 2023: 21 · 2022: 33 · 2021: 26 · 2020: 24 · 2019: 23 · 2018: 29 · 2017: 26 · 2016: 21 · 2015: 31 · 2014: 19 · 2013: 15 · 2012: 20
FWCI
42.24
Type
journal article
Language
en
Open access
Locations
  • Journal of Marketing Research (publishedVersion)
  • EUR Research Repository (Erasmus University Rotterdam) (publishedVersion)
  • Lirias (submittedVersion, other-oa)
  • EUR Research Repository (Erasmus University Rotterdam) (submittedVersion)
Topics
  • Social Sciences › Business, Management and Accounting › Marketing › Customer churn and segmentation
  • Physical Sciences › Computer Science › Information Systems › Data Mining and Machine Learning Applications
  • Physical Sciences › Computer Science › Artificial Intelligence › Imbalanced Data Classification Techniques
Keywords
bagging, boosting, classification trees, customer churn prediction, wireless communication, rare event prediction, balanced sampling, bias correction, customer retention, prediction accuracy

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