Commercial Signals Renewal

Purpose: This article defines "Renewal Signal" within our customer interactions and provides technical guidelines for its identification and interpretation. Understanding renewal signals is crucial for proactive customer retention and managing churn risk.

Definition: A "Renewal Signal" is an indication, explicit or implicit, from a customer that pertains to the continuation or termination of their existing service agreement, subscription, or license. This can include direct inquiries about the renewal process, discussions about contract expiration, or even explicit statements of intent to renew or cancel. The presence of a renewal signal signifies an opportunity for our teams to engage with the customer regarding their ongoing relationship.

Signal Value:

• "1" (Positive Signal): Indicates a clear discussion or query related to renewal, cancellation, or the renewal process itself. This signifies an actionable insight requiring attention from sales, account management, or customer success teams.

• "0" (No Signal / Irrelevant): Indicates that the message does not contain a discernible renewal signal. This could be due to the message being empty, irrelevant to renewal, or a false positive from a broader keyword search (e.g., "renewal" used in a non-contractual context).

Technical Identification Criteria & Examples:

The system's logic for identifying renewal signals prioritizes keywords and phrases directly associated with contract duration, continuation, or cessation.

Precision, Recall, F1 Score (Iteration 2):

• Precision: 0.863

• Recall: 0.880

• F1 Score: 0.871

• Threshold: 0.8

These metrics indicate the model's effectiveness in accurately identifying renewal signals (precision) and capturing all relevant signals (recall) with a good balance (F1 score) at the specified threshold. Ongoing monitoring and refinement of the signal detection algorithm are crucial to maintain accuracy.