Postpaid Churn Prediction at an APAC Telco — 38% Reduction in High-Value Churn
Churn Predictor + Customer 360 + Campaign Analyzer delivering pre-emptive retention on the postpaid segments that matter most.
The challenge
The operator — a major APAC telco with approximately 8.4 million postpaid subscribers across a converged mobile-and-fixed-line portfolio — was operating a retention function whose performance had been deteriorating against an intensifying competitive environment. New-entrant disruption in the operator's home market had driven a structural rise in postpaid churn, with the operator's monthly postpaid-churn rate climbing from a historical baseline of approximately 1.2% to a current rate of 2.1% — and the churn was disproportionately concentrated in the high-value segments the operator most wanted to retain.
The operator's existing churn-prediction model had been built in 2019 and had not been substantively re-trained since. The model's lift over a random baseline was modest, the segmentation it produced was too coarse to drive targeted intervention, and the retention team was operating on aggregate-segment retention campaigns rather than on per-subscriber retention plans. The retention spend was substantial but the ROI on the spend was unconvincing.
The constraints were operational. The operator's existing CRM, billing and customer-interaction systems could not be replaced. The local-jurisdiction data-protection requirements applied. The retention team — approximately 180 staff across the marketing-and-care functions — had a healthy scepticism of AI-driven retention based on previous churn-modelling work that had not translated into operational impact.
The approach
MindMap deployed a retention platform composed of Churn Predictor (Cp - from the CX category) as the churn-prediction engine, Customer 360 (C3) as the unified subscriber-profile layer, Customer 360 (C3) as the retention-campaign-optimisation layer, and Churn Predictor (Ch) as the subscriber-value-modelling layer.
Phase one was the unified-subscriber-profile build. The previous churn-prediction work had been hampered by data fragmentation — the subscriber's usage data sat in the BSS, the service-interaction data sat in the CRM, the billing-and-payment data sat in the billing system, the network-experience data sat in a separate analytics warehouse. Customer 360 unified these into a single subscriber profile refreshed near-real-time, with the feature-engineering layer producing the structured features the churn-prediction model required.
Phase two was the churn-prediction model build. The model is a multi-horizon ensemble — a 7-day-horizon model for the imminent-churn cases requiring immediate retention intervention, a 30-day-horizon model for the planning-horizon retention activity, and a 90-day-horizon model for the strategic-retention investments. Features include usage-pattern features (declining usage as a churn precursor), service-interaction features (specific interaction patterns as churn precursors), network-experience features (degraded experience as a churn driver), competitive-pressure features (signals of comparison-shopping behaviour), and lifecycle features (contract-renewal proximity).
Phase three was the retention-campaign-design build. Campaign Analyzer takes the model's predictions and produces per-subscriber recommended retention actions — the specific offer (rate-plan change, device subsidy, value-added-service inclusion), the optimal channel for the offer (outbound call, SMS, in-app notification, retail-store invitation), and the optimal timing. The recommendations are A/B-tested continuously through the campaign-management layer.
Phase four was the operational-workflow integration. The retention team's daily workflow now starts with the platform's prioritised retention-action list for the day — the subscribers in highest churn risk with the highest expected retention return on intervention. The previous segment-campaign workflow has been replaced by a per-subscriber action-based workflow.
The pre-built building blocks
Rather than commission a ground-up build, the engagement leaned on MindMap's pre-built accelerator library — production-tested components that compress what would otherwise be a six-to-nine-month build into weeks.
Churn Predictor
Multi-horizon postpaid churn-prediction model
Customer 360
Unified subscriber profile across BSS, CRM, billing and network telemetry
Customer 360
Per-subscriber retention-action optimisation and A/B testing
Churn Predictor
Subscriber lifetime-value modelling for retention-spend prioritisation
The architecture
The platform runs on the operator's private cloud with full local data-residency. Subscriber data — substantial PII exposure — stays inside the operator's perimeter.
The unified-subscriber-profile layer uses Customer 360 with streaming data integration from the operator's BSS, CRM, billing platform and network-experience analytics. The profile schema includes approximately 1,200 distinct features per subscriber, refreshed near-real-time for the high-velocity features (usage, network-experience) and on a daily cadence for the slower-velocity features (billing-and-payment, account-status).
Churn Predictor's multi-horizon model uses an ensemble of gradient-boosted trees (for the cross-sectional churn-driver features) and a temporal-fusion-transformer (for the trajectory features — declining usage trends, deteriorating network-experience trends). The training corpus is the operator's full historical subscriber lifecycle data — approximately 28 million subscriber-month observations.
Campaign Analyzer handles the retention-action optimisation. For each at-risk subscriber, the recommended retention action is selected from the operator's action library based on the subscriber's predicted churn drivers, predicted offer-acceptance probability, predicted retention impact and the operator's working-capital constraints on retention spend. The recommendations are A/B-tested in production to drive continuous improvement.
LTV Calculator provides the per-subscriber lifetime-value modelling that prioritises retention spend. The operator's retention-spend budget is finite; LTV Calculator's per-subscriber value scoring drives the spend prioritisation toward the subscribers where retention investment has the highest expected return.
Integration with the operator's existing campaign-management and customer-interaction tools (the outbound-dialler, the SMS-gateway, the in-app-notification platform, the retail-store CRM) is via each tool's standard inbound API.
The numbers behind the story
High-value postpaid churn has dropped approximately 38% on the model-prioritised subscriber segments. The reduction is most pronounced on the highest-value subscribers (the operator's top ARPU decile) where the targeted retention investment has the largest absolute return.
The retention-spend ROI has risen approximately 4.2x against the previous segment-campaign baseline. The shift from aggregate-segment retention to per-subscriber retention intervention has materially improved both the offer-acceptance rate (subscribers receive offers calibrated to their specific situation) and the offer-incremental-revenue (the operator stops over-offering on subscribers who would have stayed regardless and under-offering on subscribers who needed more compelling intervention).
The retention-team's operational pattern has shifted. The previous segment-campaign workflow has been replaced by a per-subscriber action workflow, with retention staff working through the prioritised daily action list rather than orchestrating large-scale segment campaigns. The team's productivity per retention staff has roughly doubled.
Customer-experience outcomes have followed. The platform's network-experience-driven retention intervention has produced a virtuous loop — subscribers experiencing network degradation are surfaced for retention intervention, which often includes engineering follow-up on the specific network issue, which addresses the root cause for the affected geographic cell or service segment. The operator's network-experience-related churn driver has materially diminished.
An unexpected outcome: the LTV modelling has become an input to the operator's broader marketing and product decisions. Pricing decisions, product-bundle composition decisions and channel-investment decisions now incorporate the LTV-implications, providing a more rigorous decision basis than the previous segment-volume orientation.
“Our previous churn-prediction work was technically interesting but operationally inert. MindMap delivered an action-oriented retention platform that has cut high-value churn thirty-eight per cent and quadrupled our retention-spend ROI. The retention-team is doing per-subscriber action work instead of segment-campaign orchestration, and the customer-experience improvement has been measurable.”— Chief Marketing Officer· APAC Telco
Why MindMap was chosen
The operator had evaluated two global churn-prediction vendors and one regional CX-analytics specialist. The vendors' churn-prediction depth varied; the differentiator was less the modelling sophistication than the operational-workflow integration that translated the predictions into retention actions.
MindMap's accelerator-composition approach — bringing Churn Predictor, Customer 360, Campaign Analyzer and LTV Calculator together into an operational retention platform with the per-subscriber action-workflow design — was the structural differentiator. The action-workflow design was the unique element; most churn-prediction vendors stop at the prediction and leave the action-workflow to the operator.
Our embedded telecom-retention expertise on the delivery team (two former retention-marketing heads from peer APAC operators and a former CRM-operations director) was the third factor. The operator's CMO felt that the team understood the operational reality of telecom retention, which had been the failure point of previous churn-modelling work.
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