Assignment 9
Amaia O’Brien
The Data being Used
- number of observations: 2984
- what you’ll be predicting: the number of people that will be leaving
and the cost of the program
- the number of predictors: I predict 391 will leave
How the Data was Split:
The data was split between customers who left and customers who are still there
##
##
## Cell Contents
## |-------------------------|
## | N |
## | Chi-square contribution |
## | N / Row Total |
## | N / Col Total |
## | N / Table Total |
## |-------------------------|
##
##
## Total Observations in Table: 3033
##
##
## | val$predicted_Attrition_Flag
## val$Attrition_Flag | Attrited Customer | Existing Customer | Row Total |
## -------------------|-------------------|-------------------|-------------------|
## Attrited Customer | 394 | 79 | 473 |
## | 1573.263 | 262.715 | |
## | 0.833 | 0.167 | 0.156 |
## | 0.908 | 0.030 | |
## | 0.130 | 0.026 | |
## -------------------|-------------------|-------------------|-------------------|
## Existing Customer | 40 | 2520 | 2560 |
## | 290.685 | 48.541 | |
## | 0.016 | 0.984 | 0.844 |
## | 0.092 | 0.970 | |
## | 0.013 | 0.831 | |
## -------------------|-------------------|-------------------|-------------------|
## Column Total | 434 | 2599 | 3033 |
## | 0.143 | 0.857 | |
## -------------------|-------------------|-------------------|-------------------|
##
## 
The Financial Impact of the Model
I predict 391 are going to leave
The cost of my program is 391 x 100 = $39,100
We will save 30% of 419 = 125.7, which has a value of 2300 x 3 x 419 = $2,891,100
The net of this program is $2,891,100 from 2565
Per customer is $1,127.13