Business Applications

Business Applications

We offer a large number of different individual modules that can be flexibly combined. We will be happy to support you in putting together your individual training.

These modules cover typical questions that arise in a marketing or business context. In each case we present the appropriate statistical method, analyze example data in R, and interpret the results.

Module 3.1 Customer Segmentation

Prerequisites: Introduction to R (module 1.1 or equivalent skills)

Not all of your customers are the same, but you likely don’t have the time or money to target each of them individually. Customer segmentation is a solution that can create homogeneous customer groups. This not only helps you to understand your customers better, but also facilitates more focused, efficient, and effective marketing measures.

Duration: approx. 3 hours

Module 3.2 Churn Prevention

Prerequisites: Introduction to R (module 1.1 or equivalent skills)

Predicting if a customer will leave your business, or churn, is important for targeting valuable customers and retaining those who are at risk. Depending on your business model, you may need to predict when your customer will cancel a contract or if he will stop purchasing. This module gives an introduction to the relevant models for churn prediction.

Duration: approx. 4 hours

Module 3.3 Customer Lifetime Value

Prerequisites: Introduction to R (module 1.1 or equivalent skills)

Customer lifetime value measures how valuable a customer is to a company over the entire lifetime of the relationship. It takes into account not only a customer’s current purchases, but also their entire purchase history (including future purchases). The customer lifetime value offers numerous opportunities for use in CRM, and also helps you employ customer retention measures in a targeted manner.

Duration: approx. 3 hours

Module 3.4 A/B Testing and Multi-Armed Bandits

Prerequisites: Introduction to R (module 1.1 or equivalent skills), Inferential Statistics (module 2.1 or equivalent skills)

A/B tests are used to compare different versions of websites, newsletters, or a customer scoring systems, for example. This module explains not only how to conduct an A/B test in R, but also presents common pitfalls which can easily lead to suboptimal decisions. Multi-armed bandits are an extension of A/B testing: They help you find the perfect trade off between resource allocation to the best alternative and better understanding of other alternatives.

Duration: approx. 2 hour