I started with logistic regression as a baseline because it's fast and interpretable, then moved into tree-based models like gradient boosting.
Start by framing churn as a binary classification problem and discuss a range of models from logistic regression to gradient boosting, emphasizing trade-offs. Then explain how you'd address class imbalance using techniques like class weighting, resampling, or anomaly detection, and finally justify evaluation metrics like PR-AUC, recall at fixed precision, or lift, aligning with business goals.
Pro tip: Tie your metric choice directly to business impact—e.g., 'If retention offers are cheap, optimize for recall; if expensive, optimize for precision.' This shows you think beyond technical metrics.
Define churn precisely (e.g., no activity for X days) and consider data available: user behavior, engagement, tenure. Mention that churn is often rare and time-dependent.
Discuss interpretable models (logistic regression) for baseline and complex models (XGBoost, LightGBM, neural networks) for performance. Consider survival analysis for time-to-churn.
Explain techniques: class weights, oversampling (SMOTE), undersampling, or anomaly detection. Note that imbalance handling should be validated via cross-validation.
Move beyond accuracy: use PR-AUC, recall at high precision, F1, or lift. Align with business costs of false positives/negatives.
Use time-based validation to mimic production. Monitor performance and retrain periodically. Consider model explainability for stakeholder buy-in.
AI-generated suggestions, not part of the candidate's original notes. May be inaccurate — verify before relying on them.