top of page
Tealbe_logotype.png

Churn Rate

Definition:
Churn Rate measures the percentage of customers who stop doing business with a company over a specific period.

Formula:
Churn Rate = (Customers Lost / Total Customers) × 100

Explanation:
It is the opposite of retention and a critical metric for subscription and service-based businesses.

Example:
If 10 out of 200 customers leave in a month, churn rate is 5%.

bottom of page