In today's competitive market environment, accurately identifying potential churn customers and taking effective retention measures are crucial for improving customer retention and ensuring the sustainable development of an organization. However, traditional machine learning algorithms and single deep learning models have limitations in extracting complex nonlinear and time-series features, resulting in unsatisfactory prediction results. To address this problem, this study proposes a hybrid neural network-based customer churn prediction model, CCP-Net. In the data preprocessing stage, the ADASYN sampling algorithm balances the sample sizes of churned and non-churned customers to eliminate the negative impact of sample imbalance on the model performance. In the feature extraction stage, CCP-Net uses Multi-Head Self-Attention to learn the global dependencies of the input sequences, combines with BiLSTM to capture the long-term dependencies in the sequential data, and uses CNN to extract the local features, and ultimately generates the prediction results. Experimental results of cross-validation on Telecom, Bank, Insurance, and News datasets show that CCP-Net outperforms the comparison algorithms in all performance metrics. For example, CCP-Net achieves a Precision of 92.19% on the Telecom dataset, 91.96% on the Bank dataset, 95.87% on the Insurance dataset, and 95.12% on the News dataset, which compares to other hybrid neural network models, the performance improvement of CCP-Net ranges from 1% to 3%. These results indicate that the design of the CCP-Net model effectively improves the accuracy and robustness of churn prediction, enabling it to be widely applied to different industries, especially in the financial, telecommunication, and media fields, to provide more comprehensive and effective churn management strategies for enterprises.
Keywords: Churn prediction; Deep learning; Hybrid neural network.
© 2024. The Author(s).