Churn Rate Calculator

Calculate customer churn rate for a period and compare retention across segments or cohorts.

Customer churn rate measures the share of customers you lost over a period. It is a core retention metric for subscription businesses.

Churn can be misleading if you mix segments. Track churn by cohort, plan, and acquisition channel before you make budget decisions.

Prefer an explanation- Read the guide.
Need definitions- Browse the glossary.
 
 
12 for monthly, 4 for quarterly. Used to compute annualized churn.
Used to estimate retained customers after N periods.
Tip: you can type commas (e.g., 10,000).

Example

Using the default inputs, the result is:
3%
Customers at start
1,000
Customers lost
30
Periods per year (optional)
12
Forecast periods (optional)
12

How to calculate

  1. Pick a time window (month/quarter) and a segment (plan/channel/geo).
  2. Enter customers at the start of the period and customers lost during the period.
  3. Compute churn = lost / start and retention = 1 - churn.
  4. Optionally annualize churn by specifying periods per year (12 for monthly, 4 for quarterly).
  5. Optionally add forecast periods to estimate how many customers remain.

Formula

Churn Rate = Customers Lost / Customers at Start
  • Inputs represent the same period (e.g., month, quarter).

Benchmarks

  • Small changes in churn compound over time; pair churn with LTV and payback.
  • If churn is mostly involuntary (failed payments), fix dunning before you change acquisition budgets.
  • Revenue retention (NRR/GRR) can look better than customer churn if expansion is strong.

FAQ

What about expansion revenue-
Customer churn ignores upsells/downsells. Use NRR/GRR when you want a revenue-based view.

Common mistakes

  • Comparing churn across periods with different definitions of 'active customer'.
  • Using blended churn across segments with different retention (the blend can drift).
  • Annualizing a period that is not consistent (for example mixing monthly and quarterly inputs).

How to interpret

Improve churn tracking
  • Track churn by cohort and plan to see where retention breaks.
  • Separate voluntary churn from involuntary (failed payments).
  • Watch leading indicators (activation, support tickets, usage).

Quick checks

  • Keep time units consistent (monthly vs annual) across inputs and outputs.
  • Segment by cohort/channel/plan before trusting a blended average.
  • Use the related guide to avoid common definition and denominator mismatches.