Using scanner data from a large European retailer, this paper empirically assesses deep habit formation in consumption. Deep habit formation constitutes a possible source of price stickiness and helps to mimic procyclical labour and real wage dynamics that are present in macro data. To gauge the...

This study investigates the advantage of social network mining in a customer retention context. A company that is able to identify likely churners in an early stage can take appropriate steps to prevent these potential churners from actually churning and subsequently increase profit. Academics...

To improve ATMs’ cash demand forecasts, this paper advocates the prediction of cash demand for groups of ATMs with similar day-of-the week cash demand patterns. We first clustered ATM centers into ATM clusters having similar day-of-the week withdrawal patterns. To retrieve...

In recent years, governmental and industrial espionage becomes an increased problem for governments and corporations. Especially information about current technology development and research activities are interesting targets for espionage. Thus, we introduce a new and automated methodology that...

To build a successful customer churn prediction model, a classification algorithm should be chosen that fulfills two requirements: strong classification performance and a high level of model interpretability. In recent literature, ensemble classifiers have demonstrated superior performance in a...

This paper uses scanner data at the individual customer level, compiled from the loyalty card database of a European retailer, to determine the importance of implicit contracts as a source of price stickiness. Drawing from Customer Relationship Management (CRM), we use segmentation techniques...

Retaining customers has been considered one of the most critical challenges among those included in Customer Relationship Management (CRM), particularly in the grocery retail sector. In this context, an accurate prediction whether or not a customer will leave the company, i.e. churn prediction,...

Fundraising appeals often announce that some funds have already been raised in order to reach a certain threshold. This article reports results from a field experiment examining the role of seed money (i.e., no, 50%, and 67%) in combination with threshold size (i.e., low versus high) in...

Multilevel security (MLS) is specifically created to protect information from unauthorized access. In MLS, documents are assigned to a security label by a trusted subject e.g. an authorized user and based on this assignment; the access to documents is allowed or denied. Using a large number of...

Currently, in order to remain competitive companies are adopting customer centered strategies and consequently customer relationship management (CRM) is gaining increasing importance. In this context, customer retention deserves particular attention. This paper proposes a model for partial churn...