Question 1

What is churn rate?

Accepted Answer

Churn rate is the percentage of customers or revenue lost over a specific period. It's a critical metric for SaaS and subscription businesses to measure customer retention.

Question 2

How is churn rate calculated?

Accepted Answer

Customer churn = (Starting Customers - Ending Customers) / Starting Customers × 100. Revenue churn uses the same formula with revenue figures instead of customer counts.

Question 3

What is a good churn rate?

Accepted Answer

For SaaS companies, a monthly customer churn rate under 5% is generally considered good. Enterprise SaaS typically sees 1-3% monthly, while SMB-focused companies may see 3-7%.

Churn Rate Calculator

Customer Churn

Revenue Churn

Churn Rate Calculator

Customer Churn

Revenue Churn

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