Which machine learning model type should the Specialist use to accomplish this task?

A Machine Learning Specialist is working with a large company to leverage machine learning within its products. The company wants to group its customers into categories based on which customers will and will not churn within the next 6 months. The company has labeled the data available to the Specialist.

Which machine learning model type should the Specialist use to accomplish this task?
A . Linear regression
B . Classification
C . Clustering
D . Reinforcement learning

View Answer

Answer: B

Explanation:

The goal of classification is to determine to which class or category a data point (customer in our case) belongs to. For classification problems, data scientists would use historical data with predefined target variables AKA labels (churner/non-churner) C answers that need to be predicted C to train an algorithm. With classification, businesses can answer the following questions:

– Will this customer churn or not?

– Will a customer renew their subscription?

– Will a user downgrade a pricing plan?

– Are there any signs of unusual customer behavior?

Reference: https://www.kdnuggets.com/2019/05/churn-prediction-machine-learning.html