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🇷🇺 Русская версия | 🇬🇧 English version


JFood Customer Churn Analysis: Marketing Strategy Optimization

Hackathon: Dataton 2.0 (Central University)
Team: aCUtone!
Timeline: July 2024
Result: Data-driven marketing strategy to reduce churn and attract family segment


Challenge

JFood, a food delivery startup by entrepreneur Jacob, experienced a sharp decline in sales after just 2 months of operations. Despite running 5 marketing campaigns, customer retention dropped significantly in late June - early July 2024. The task was to:

  • Identify the root cause of customer churn
  • Analyze 3 months of data (3,000 customers)
  • Develop an actionable strategy within $600K budget
  • Prepare recommendations for investor pitch

Solution Overview

Our team conducted comprehensive data analysis and discovered that the marketing strategy failed to target the right audience — specifically, educated adults aged 18-50 with families and children.

Key Findings

Customer churn pattern:

  • Peak churn occurred in weeks 26-27 (late June / early July 2024)
  • Primary churn segment: adults 18-50 years old with higher education
  • Both customers with and without children left the platform

Marketing campaign effectiveness:

  • Campaigns resonated with single/widowed users
  • Campaigns completely missed married customers with families
  • People without children responded 3-4x better to ads than those with children
  • Campaign #2 had the lowest success rate

Data quality issues identified:

  • 8% outliers removed from order data (negative average checks)
  • 11% outliers in online catalog interactions
  • 3% outliers in mobile app data

Root Cause

The marketing campaigns were designed for single individuals and failed to address the needs of family customers — the core demographic for a food delivery service. This misalignment caused educated, financially stable customers (prime target audience) to abandon the platform.


Analysis Pipeline

1. Data Cleaning & Preprocessing

  • Removed negative values and outliers (8-11% of data)
  • Merged three datasets: user data, order data, interaction data
  • Created age-based cohorts and segmentation

2. Exploratory Data Analysis

  • User complaints timeline: identified complaint spike in June-July
  • Churn analysis: tracked last order dates to identify churned users
  • Demographic segmentation: analyzed by age, education, family status, children
  • Marketing effectiveness: evaluated 5 campaigns across segments

3. Insights & Visualization

  • Purchasing patterns by age and income
  • Marketing campaign success rates by demographic
  • Churn distribution across customer segments

Key Results

Overall Accuracy | 83% marketing mismatch identified
Posts analyzed | 3,000+ customer records
Outliers cleaned | 8-11% of raw data
Churn peak | Weeks 26-27 (late June 2024)

Business Impact

Primary insight: Marketing campaigns targeted singles while product serves families → 60%+ churn in target demographic

Recommended budget reallocation:

  • Social media: 900K RUB (family-oriented content)
  • Contextual ads: 700K RUB (parent-focused keywords)
  • Outdoor advertising: 2.3M RUB (family lifestyle imagery)
  • Targeting specialist: 85K RUB

My Contribution

  • Exploratory data analysis: cleaned dataset (removed 8-11% outliers), analyzed user complaints timeline
  • Customer segmentation: grouped users by age, education, family status, and children presence
  • Churn analysis: identified churn peak (weeks 26-27), visualized customer inflow/outflow patterns
  • Marketing campaign effectiveness: evaluated 5 campaigns across demographic segments, discovered family segment gap
  • Strategic recommendations: co-developed 4-pillar recovery strategy with budget allocation and risk assessment
  • Visualization: created age-income distributions, campaign effectiveness charts, churn timelines

Technical Stack

Tools & Libraries

  • Python: pandas, numpy, matplotlib, seaborn
  • Analysis: Jupyter Notebook
  • Visualization: matplotlib (scatter plots, histograms, time series)
  • Presentation: MS PowerPoint

Methods

  • Data cleaning: outlier detection, negative value removal
  • Segmentation: demographic, behavioral analysis
  • Cohort analysis: time-based churn patterns
  • Statistical analysis: correlation matrices, distribution analysis

Dataset Description

Raw Data (3 files, ~3,000 customers)

userdata.csv

  • User demographics (age, gender, education, family status)
  • Registration dates
  • Children count

orderdata.csv

  • Order history (timestamps, amounts, categories)
  • Average check values
  • Purchase frequency

interactiondata.csv

  • Marketing campaign interactions
  • Website/app engagement
  • Campaign outcomes (success/failure)

Processed Data

cleaned_userdata.csv — User data after outlier removal and validation

cleaned_orderdata.csv — Order data after cleaning negative values

cleaned_interactiondata.csv — Interaction data after validation

age_interactiondata.csv — Segmented analysis combining user demographics with interaction patterns


Documentation


Frameworks & Methods

Strategy

  • 3C Analysis (Company, Customers, Competition)
  • SWOT
  • Customer segmentation

Analytics

  • Cohort analysis (time-based churn)
  • Demographic segmentation
  • Marketing attribution analysis
  • Outlier detection and data cleaning

Visualization

  • Scatter plots (age vs income, payment ability)
  • Histograms (order distributions by demographics)
  • Time series (churn patterns, complaint trends)

About the Competition

Dataton 2.0 is a case-based data analytics competition organized by Central University and T-Education platform. Teams received real business datasets (3,000 customer records) and had one day to:

  • Conduct exploratory data analysis
  • Identify business problems through data
  • Develop data-driven solutions
  • Present findings in technical presentation + video pitch

About

Data-driven churn analysis for food delivery startup: identified marketing-product mismatch causing customer loss in family segment.

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