System and method of analyzing social media to predict the churn propensity of an individual or community of customers

Abstract

A system and method for mining social media signals and cues i) created by a user (for example, a customer) and/or ii) to which the user is exposed (the “data”), and for processing that data as it relates to a service (including a fee or subscription-based service), in order to predict the user's predisposition or likelihood to either leave the subscription or the service or reduce his/her engagement with the subscription or the service.

Description

REFERENCE TO RELATED APPLICATIONS[0001]This application claims the benefit of U.S. Provisional Patent Application No. 62 / 120,221, filed Feb. 24, 2014, and titled “SYSTEM AND METHOD OF ANALYZING SOCIAL MEDIA TO PREDICT THE CHURN PROPENSITY OF AN INDIVIDUAL OR COMMUNITY OF CUSTOMERS,” which is hereby incorporated by reference in its entirety.FIELD OF THE INVENTION[0002]This invention is related to the automatic prediction of customer churn in service and subscription based businesses by using intelligent and real-time analysis of customer's social media profiles, engagement and community.BACKGROUND OF THE INVENTION[0003]The popularity of the subscription-based business model has increased dramatically over the past 25 years, as more and more service providers opt for the predictability and cash flow benefits of monthly recurring revenue. Companies using subscription or recurring billing models understand the potentially lucrative lifetime value of each customer they sign up, especiall...

AI Technical Summary

Benefits of technology

[0026]Companies can advance their existing churn prediction systems with signals from the customer's SMP.

[0027]The end result of implementing a churn prediction and management program as outlined herein is to develop a better understanding of the causes of churn and of the characteristics of customers who wil

Problems solved by technology

When customers prematurely leave a service provider, the recovery of the acquisition costs can become a real problem.

However, the rate at which customers cancel or opt for a competitor, called the “churn rate”, has really not abated that much, despite the efforts.

First, many of the new technology industries born during the past 30 years or so are entering a period of relative maturity and near-total market pene

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