Retention & churn hub: cohorts, GRR/NRR, and retention curves

A practical hub for retention measurement: churn rate, GRR/NRR, cohort retention curves, and how to set retention targets without getting misled by noise.

Updated 2026-01-28

Try it in a calculator

How to use this hub

Start with a crisp definition of your retention denominator (logos vs revenue) and your cohort logic, then use the calculators in the sidebar to compute churn/retention, GRR/NRR, and curve shapes. Only after definitions are stable should you set targets.

Metric map (what each one answers)

MetricAnswersBest used for
Churn rate (logos)How many customers left-Customer experience and retention risk
MRR churnHow much recurring revenue churned-Revenue impact from churn
GRRHow much revenue did we keep before expansion-Baseline retention health (hard to fake)
NRRDid expansion offset churn-Growth quality and account expansion
Retention curveDoes retention stabilize over time-Product-market fit and cohort behavior

A simple workflow (weekly/monthly)

  • Pick one primary view per audience: logos for SMB, revenue (GRR/NRR) for mid-market/enterprise.
  • Compute churn/retention for a consistent period (monthly is common).
  • Layer GRR/NRR to separate churn vs expansion effects.
  • Track cohort curves to see whether early churn is improving and whether long-term retention is stable.
  • Set targets with a buffer (targets break when definitions or mix changes).

Common mistakes (that break dashboards)

  • Mixing cohorts (signup cohorts vs paid cohorts vs activation cohorts) in the same chart.
  • Counting expansion as 'retention' without also tracking GRR (NRR can hide churn).
  • Changing event definitions or billing rules without versioning (trends become meaningless).
  • Ignoring mix shift: enterprise NRR can rise while SMB churn worsens (segment separately).

When to use targets vs curves

Targets are useful for operating cadences, but curves reveal the underlying shape of retention and whether improvements are durable. If you only look at a single churn number, you'll miss whether cohorts are stabilizing or just shifting churn later.

FAQ

Should we optimize NRR or GRR-
Use GRR as the baseline health metric and NRR as the growth-quality metric. NRR can be high even with serious churn if expansion is strong, so track both.
Logo churn vs revenue churn: which is 'more important'-
It depends on who you sell to. Logo churn is often the right early warning for SMB, while revenue churn and GRR/NRR are more informative for enterprise accounts.

More in saas metrics

Real vs nominal return: inflation-adjusted performance
Retention curves: how to read them and why they matter