Lab — Telco Customer Churn Analytics
Lab · Hands-on Exercise

Telco Customer Churn Analytics

A hands-on training dataset for building Power BI dashboards — explore customer demographics, subscribed services, contracts, and billing to model, calculate DAX metrics, and visualize customer churn risks.

You are employed as a Data Analyst with a Telecommunications Provider. You have detailed customer behavior records covering 7,043 subscribers across demographics, subscribed services, contract terms, and monthly billing. Your objective is to build an interactive dashboard in Power BI Desktop to calculate Churn Rate & Lost Revenue, pinpoint high-risk contract types, and evaluate service friction points.

Dataset Overview & Column Definitions

The dataset contains 7,043 unique subscriber records structured across three interconnected operational domains: Demographics, Subscribed Services, and Contract & Billing.

Column Name Explanation & Values Category
customerID Unique identifier assigned to each subscriber. Demographics
gender Customer gender (Male / Female). Demographics
SeniorCitizen Indicates if customer is a senior citizen (1 = Yes, 0 = No). Demographics
Partner Indicates if the customer has a partner or spouse (Yes / No). Demographics
Dependents Indicates if customer lives with dependents (Yes / No). Demographics
tenure Total number of months subscribed with the company. Lifecycle / Billing
PhoneService Indicates if subscribed to home phone service (Yes / No). Services
MultipleLines Multiple telephone lines (Yes / No / No phone service). Services
InternetService Internet connection provider (DSL, Fiber optic, No). Services
OnlineSecurity Online security add-on package (Yes / No / No internet). Services
OnlineBackup Online cloud backup add-on (Yes / No / No internet). Services
DeviceProtection Device insurance coverage (Yes / No / No internet). Services
TechSupport Technical support add-on service (Yes / No / No internet). Services
StreamingTV IPTV streaming subscription (Yes / No / No internet). Services
StreamingMovies Movie streaming subscription (Yes / No / No internet). Services
Contract Contract terms (Month-to-month, One year, Two year). Contract & Billing
PaperlessBilling Customer opted for digital invoicing (Yes / No). Contract & Billing
PaymentMethod Payment mode (Electronic check, Mailed check, Bank transfer, Credit card). Contract & Billing
MonthlyCharges The amount billed to the customer on a monthly basis. Contract & Billing
TotalCharges Total cumulative expenditure over the customer tenure. Contract & Billing
Churn TARGET Primary outcome: whether customer left (Yes / No). Outcome Target

Setup — Load the Data

Connect Power BI Desktop to the CSV data file before building DAX measures and visuals.

In Power BI Desktop, select Home → Get Data → Text/CSV. Navigate to datafiles/Customer-Churn.csv and click Open.
In the preview window, confirm that column headers are loaded properly and click Load (or Transform Data to inspect field data types). Rename the table to churn for clean DAX referencing.

1
Task #1: Churn & Revenue KPI Cards
Calculate headline metrics: Total Customers, Churned Customers, Churn %, and Lost Monthly Revenue
Create DAX Measure [churnyes]: Write an explicit measure to count the total number of churned subscribers (where Churn = "Yes"):
churnyes = CALCULATE(COUNT(churn[Churn]), churn[Churn] = "Yes")
Create DAX Measure [lostrevenue]: Calculate the total lost monthly recurring revenue from churned customers:
lostrevenue = CALCULATE(SUM(churn[MonthlyCharges]), churn[Churn] = "Yes")
Create DAX Measure [churn percentage]: Divide churned customers by total subscribers to get the overall churn rate:
churn percentage = DIVIDE(churn[churnyes], COUNT(churn[Churn]), 0)
Build Card Visuals / KPI Cards: Place 4 Card visuals at the top of the canvas displaying Total Customers (7,043), Churn (1,869), % Churn (26.54%), and Lost Revenue (139.13K).
Churn KPI Cards and DAX Measures
KPI Cards: Top banner showing Total Customers, Churned Customers, Churn %, and Lost Monthly Revenue.

2
Task #2: Churn by Contract Type
Expose how contract commitment terms (Month-to-month vs 1-Year vs 2-Year) drive attrition
Add Stacked Bar / Clustered Bar Visual: Select 100% Stacked Bar Chart or Clustered Bar Chart from the Visualizations pane.
Configure field mapping: Place Contract on the Y-axis, customerID (Count) on the X-axis, and Churn on the Legend.
Analytical Insight: Comparing contract shares side by side demonstrates that Month-to-month contracts account for the overwhelming majority of lost subscribers compared to long-term 1-year and 2-year plans.
Churn by Contract Type Visual
100% Stacked Bar Chart: Comparing churned vs retained customer proportions by Contract type.

3
Task #3: Churn by Internet Service
Analyze which technology provider type (DSL, Fiber Optic, No Internet) experiences the highest churn rate
Add Stacked Bar Chart: Add a Bar Chart visual to show churn rate by internet technology.
Set InternetService on the Y-axis and churn percentage on the X-axis.
Observation: Fiber optic subscribers display a significantly higher churn rate (~41.89%) compared to DSL (18.96%) and No Internet (7.40%), highlighting service quality or pricing friction.
Churn by Internet Service Visual
Bar Chart: Churn percentage breakdown by Internet Service provider type.

4
Task #4: Churn by Customer Tenure
Group tenure into 6-month bins to plot churn risk decay over customer lifecycle
Create Tenure Bins: Right-click the tenure field in the Data pane and select New Group. Set Group type to Bins and Bin size to 6 months.
Create Line Chart: Add a Line Chart visual with tenure (bins) on the X-axis and churn percentage on the Y-axis.
Analytical Insight: The continuous line chart reveals that churn risk is highest during the first 0–6 months (>50%) and steadily declines as tenure increases, proving that early customer onboarding is critical.
Churn by Customer Tenure Line Chart
Line Chart: Churn rate decline plotted across 6-month customer tenure bins.

5
Task #5: Churn by Payment Method & Final Dashboard
Analyze billing option attrition and assemble the complete executive dashboard
Add Payment Method Visual: Add a Bar Chart displaying PaymentMethod on the Y-axis and churn percentage on the X-axis. Electronic check shows the highest attrition rate among payment options.
Assemble Final Dashboard: Arrange the 4 KPI cards at top left, Contract breakdown stacked bar chart at middle left, Tenure line chart at bottom left, and Payment Method & Internet Service bar charts on the right column.
Final Telco Churn Analytics Report Page
Final Report Page: Executive Telco Customer Churn Analytics dashboard featuring KPI cards, contract shares, tenure risk curve, and billing breakdowns.