AIMS Mathematics (Jan 2024)

A swarm intelligence-based ensemble learning model for optimizing customer churn prediction in the telecommunications sector

  • Bijan Moradi,
  • Mehran Khalaj,
  • Ali Taghizadeh Herat,
  • Asghar Darigh ,
  • Alireza Tamjid Yamcholo

DOI
https://doi.org/10.3934/math.2024138
Journal volume & issue
Vol. 9, no. 2
pp. 2781 – 2807

Abstract

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In today's competitive market, predicting clients' behavior is crucial for businesses to meet their needs and prevent them from being attracted by competitors. This is especially important in industries like telecommunications, where the cost of acquiring new customers exceeds retaining existing ones. To achieve this, companies employ Customer Churn Prediction approaches to identify potential customer attrition and develop retention plans. Machine learning models are highly effective in identifying such customers; however, there is a need for more effective techniques to handle class imbalance in churn datasets and enhance prediction accuracy in complex churn prediction datasets. To address these challenges, we propose a novel two-level stacking-mode ensemble learning model that utilizes the Whale Optimization Algorithm for feature selection and hyper-parameter optimization. We also introduce a method combining K-member clustering and Whale Optimization to effectively handle class imbalance in churn datasets. Extensive experiments conducted on well-known datasets, along with comparisons to other machine learning models and existing churn prediction methods, demonstrate the superiority of the proposed approach.

Keywords