PowerCo is a BCG client company that provides energy and gas to SMEs (Small and Medium Enterprises) as well as residences but has been experiencing customer churn issues. One plausible hypothesis for customer churn is the impact of price sensitivity and challenges related to power liberalization in the European market, specially during the period between January and March 2016. The bjective is to gain a deeper understanding of the data and extract actionable insights from this hypothesis. We aim to assess whether the current marketing strategy employed by PowerCo — providing a 20% discount to churned customers — is effective. This notebook describes the process of Exploratory Data Analysis (EDA) to examine the primary reasons for churn and determine whether they are related to the previously mentioned hypothesis.
The analysis is conducted using two datasets, containing information about the customers and prices.