Gregory S. Zaric, Matthew Lui
Ivey Publishing (W17630-PDF-ENG)
October 18, 2017
Survival analysis refers to a collection of statistical techniques used to analyze the occurrence and expected timing of events. Survival analysis can provide not only the probability that an event of interest will occur, but also the time when the event is likely to occur. A particularly useful application of survivorship analysis is in the area of ”customer loss,” the loss of customers or customers, which is a major problem in many industries. This note presents survival analysis and discusses two approaches to investigating customer churn: the Kaplan-Meier estimator and the Cox proportional hazards model. Instructions are provided for creating these templates in Microsoft Excel without add-ins.
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