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- 11 Nov 2013
- Research & Ideas
A Smarter Way to Reduce Customer Defections
should consider not only the churn probability of customers, but also how much they spend, the likelihood that they will respond to a retention offer, and the cost of the offer itself. Gupta's predictive model takes all these factors into...
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- 2019
- Working Paper
Managing Churn to Maximize Profits
By: Aurelie Lemmens and Sunil Gupta
Customer defection threatens many industries, prompting companies to deploy targeted, proactive customer retention programs and offers. A conventional approach has been to target customers either based on their predicted churn probability, or their responsiveness to a...
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Keywords:
Churn Management;
Defection Prediction;
Loss Function;
Stochastic Gradient Boosting;
Customer Relationship Management;
Consumer Behavior;
Profit
Lemmens, Aurelie, and Sunil Gupta. "Managing Churn to Maximize Profits." Harvard Business School Working Paper, No. 14-020, September 2013. (Revised December 2019. Forthcoming at Marketing Science.)
- September–October 2020
- Article
Managing Churn to Maximize Profits
By: Aurelie Lemmens and Sunil Gupta
Customer defection threatens many industries, prompting companies to deploy targeted, proactive customer retention programs and offers. A conventional approach has been to target customers either based on their predicted churn probability or their responsiveness to a...
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Keywords:
Churn Management;
Defection Prediction;
Loss Function;
Stochastic Gradient Boosting;
Customer Relationship Management;
Consumer Behavior;
Profit
Lemmens, Aurelie, and Sunil Gupta. "Managing Churn to Maximize Profits." Marketing Science 39, no. 5 (September–October 2020): 956–973.
- Article
Are Self-service Customers Satisfied or Stuck?
This paper investigates the impact of self-service technology (SST) usage on customer satisfaction and retention. Specifically, we disentangle the distinct effects of satisfaction and switching costs as drivers of retention among self-service customers. Our empirical...
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Keywords:
Service Delivery;
Information Technology;
Customer Satisfaction;
Competition;
Cost;
Banks and Banking;
Behavior;
Market Transactions;
Management Analysis, Tools, and Techniques
Buell, Ryan W., Dennis Campbell, and Frances X. Frei. "Are Self-service Customers Satisfied or Stuck?" Production and Operations Management 19, no. 6 (November–December 2010). (Awarded the Decision Sciences Institute Stan Hardy Award for Outstanding Paper Published during 2010 in the Field of Operations Management.)
- 2017
- Working Paper
Exploring the Relationship between Architecture Coupling and Software Vulnerabilities: A Google Chrome Case
By: Robert Lagerstrom, Carliss Y. Baldwin, Alan MacCormack, Dan Sturtevant and Lee Doolan
Employing software metrics, such as size and complexity, for predicting defects has been given a lot of attention over the years and has proven very useful. However, the few studies looking at software architecture and vulnerabilities are limited in scope and findings....
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Keywords:
Software;
Architecture;
Coupling;
Vulnerabilities;
Applications and Software;
Complexity;
Measurement and Metrics
Lagerstrom, Robert, Carliss Y. Baldwin, Alan MacCormack, Dan Sturtevant, and Lee Doolan. "Exploring the Relationship between Architecture Coupling and Software Vulnerabilities: A Google Chrome Case." Harvard Business School Working Paper, No. 17-078, February 2017.
- 2023
- Working Paper
Organizational Responses to Product Cycles
By: Achyuta Adhvaryu, Vittorio Bassi, Anant Nyshadham, Jorge Tamayo and Nicolas Torres
Product cycles entail the mass production of new—and often increasingly complex—products on a regular basis. How do firms manage these changes? We use granular daily data from a leading automobile manufacturer to study the organizational impacts of introducing new...
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Keywords:
Training;
Organizational Change and Adaptation;
Knowledge Management;
Production;
Product;
Organizational Structure;
Auto Industry;
Argentina
Adhvaryu, Achyuta, Vittorio Bassi, Anant Nyshadham, Jorge Tamayo, and Nicolas Torres. "Organizational Responses to Product Cycles." Harvard Business School Working Paper, No. 23-061, March 2023. (Revise & Resubmit Journal of Political Economy.)
- Other Article
Exploring the Relationship Between Architecture Coupling and Software Vulnerabilities
By: Robert Lagerstrom, Carliss Y. Baldwin, Alan MacCormack, Daniel J. Sturtevant and Lee Doolan
Employing software metrics, such as size and complexity, for predicting defects has been given a lot of attention over the years and proven very useful. However, the few studies looking at software architecture and vulnerabilities are limited in scope and findings. We...
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Keywords:
Security Vulnerabilities;
Software Architecture;
Metrics;
Software;
Complexity;
Measurement and Metrics
Lagerstrom, Robert, Carliss Y. Baldwin, Alan MacCormack, Daniel J. Sturtevant, and Lee Doolan. "Exploring the Relationship Between Architecture Coupling and Software Vulnerabilities." Proceedings of the International Symposium on Engineering Secure Software and Systems (ESSoS) 9th (2017): 53–69. (Part of Lecture Notes in Computer Science, ISSN 0302-9743.)
- 09 Apr 2007
- Research & Ideas
Industry Self-Regulation: What’s Working (and What’s Not)?
firms are routinizing their tacit knowledge and tasks? In the same study, we also look at whether the quality management practices implemented in conjunction with ISO 9000 have spillover effects on how they address worker safety. For example, a robust process to...
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by Martha Lagace
- 01 Oct 1998
- News
Dinh Thi Hoa: Up from the Ashes of War
"When, for instance, a professor asked how a manager in a case should deal with the issue of a defective product, I had absolutely no clue. The only way I got through the program was to prioritize and really try to shine in the subjects I...
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Dun Gifford, Jr. (MBA 1992)
- 16 Sep 2019
- Research & Ideas
Crowdsourcing Is Helping Hollywood Reduce the Risk of Movie-Making
Wahlen of MIT Sloan—examine whether such “wisdom of the crowd” can beat the odds in predicting a blockbuster at a higher rate than the gut of an individual producer. "While some companies have used crowdsourcing as a way to make decisions...
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- 18 Jul 2019
- Lessons from the Classroom
The Internet of Things Needs a Business Model. Here It Is
says, companies need to be clear about what they offer customers, and be prepared to pursue innovative business models to monetize it. Oftentimes, it’s not immediately obvious how connected devices can help make a customer more efficient. “A company may have a View Details
- 01 Mar 2004
- What Do You Think?
Are Customer Loyalty Initiatives Worth the Investment?
concludes that even though many customer loyalty initiatives are poorly thought out or implemented: 1) "Some customers are inherently predictable and loyal, no matter what company they're doing business with. They simply prefer...
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by James Heskett
- 05 May 2009
- First Look
First Look: May 5, 2009
predictably less likely to defect to a competitor if they are heavily reliant on self-service channels characterized by high switching costs. We demonstrate that when self-service usage promotes retention,...
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Martha Lagace
- 23 Feb 2011
- First Look
First Look: Feb. 23
measures of national political instability—Alesina and Perotti's (1996) well-known index of instability, a subsequent index derived from Banks' (2005) work, and two indices of managerial perceptions of nation-by-nation political instability—persistently View Details
Keywords:
Sean Silverthorne
- Profile
Paris Wallace
maternal health and create an ability to predict significant outcomes such as birth defects and autism. In an interview with HIStalk.com, Wallace said, “Research shows that 40 percent of fertility treatments...
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- 17 Sep 2013
- First Look
First Look: September 17
impact people's feelings about their decisions. We compare post-choice satisfaction from choices made by mind wandering to reason based choices and randomly assigned outcomes. Participants chose a poster by mind wandering or deliberating-or were randomly assigned a...
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Sean Silverthorne
- 07 May 2013
- First Look
First Look: May 7
644 geographically isolated markets in which a nationwide retail bank conducted business over a five-year period. We find that customers defect at a higher rate from the incumbent following increased service quality (price) competition...
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Carmen Nobel
- 17 Jul 2018
- First Look
New Research and Ideas, July 17, 2018
for harms caused by defective products may also affect innovation incentives. This paper examines this issue, exploiting a major quasi-exogenous increase in liability risk faced by U.S. suppliers of polymers used to manufacture medical...
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Dina Gerdeman
- 15 May 2012
- First Look
First Look: May 15
followed a series of events that seriously damaged ChuoAoyama's reputation. We use these events to provide evidence on the importance of auditors' reputation for quality in a setting where litigation plays essentially no role. Around one quarter of ChuoAoyama's clients...
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Carmen Nobel
- 19 Feb 2014
- Research & Ideas
Racist Umpires and Monetary Ministers
otherwise." In the cases of umpires and ministers, Parsons's work falls under the broader category of incentive research. "They are about what causes people to behave in predictable ways, and how that changes over time," he...
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