International Journal For Multidisciplinary Research

E-ISSN: 2582-2160   •   Impact Factor: 9.24

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Factor Analysis of Telecommunications Service Attributes Identifying Latent Constructs Driving Customer Behavior and Satisfaction

Author(s) Mr. Balakrishna Kakarla, Mr. Sekhar K
Country India
Abstract The study leverages the multivariate statistical technique of factor analysis to uncover the fundamental latent constructs that underlie key telecommunications service attributes and govern customer behavior and satisfaction. Utilizing a robust dataset of 250 customers, which includes variables such as average monthly call minutes, bill amount, percentage of business usage, length of service, household income, and a proprietary propensity-to-leave score, the research aims to distill these observable metrics into a simpler, more powerful framework of underlying drivers. The analysis successfully extracted two distinct components that collectively explain 60.875% of the total variance in the data. The first construct, identified as "Service Utilization and Loyalty," reveals a critical inverse relationship between call volume and the propensity to churn, highlighting that high-engagement users are fundamentally more loyal. The second construct, termed "Established Value and Business Engagement," characterizes a segment of long-tenured, business-oriented customers who generate significant revenue and represent a stable, high-value clientele. These findings move beyond isolated variable analysis to provide a synthesized, actionable understanding of the customer base. The resulting framework offers telecom operators profound strategic insights for enhancing service design, implementing targeted retention programs, and optimizing customer satisfaction by focusing on the core latent constructs that drive both value and risk within their portfolio.
Keywords Factorl Analysis, Telecommunication, Market Research, Service Utilization
Field Mathematics > Statistics
Published In Volume 7, Issue 6, November-December 2025
Published On 2025-12-27
DOI https://doi.org/10.36948/ijfmr.2025.v07i06.64726
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E-ISSN 2582-2160
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