Better spend predictions for personalised offers.
Spend forecasts informed tailored incentive offers for customers across the Americas and EMEA. I owned the spend prediction model, using XGBoost and SHAP to improve forecasts, explain their drivers, and reduce underprediction that affected offer decisions.
Beyond the spend model, I contributed to response modelling, supported parts of the lend model, and worked on wider offer calculations and workflows.
ECOSYSTEM CONTEXTThe wider offer ecosystem drove $500M+ in incremental revenue annually.
$20Madditional annual value from reduced underprediction
25%reduction in underprediction error versus the previous system
97%of spend predictions within ±2% of actual spending
Python XGBoost SHAP
Model design & validation
I developed the spend model using feature engineering and hyperparameter tuning. SHAP explainability helped teams understand what drove the predictions and assess them in the context of offer decisions.
Compared with the previous system, overall prediction error, measured by NRMSE, fell by 10%. The model also used 77% fewer input variables, simplifying the prediction system without sacrificing performance.
Model stability extended from 30 to 360 days, a twelvefold improvement that removed the need for frequent refreshes and their associated costs. Reducing underprediction added $20M in annual value within the wider offer ecosystem.
