How do you calculate customer churn rate?

Customer churn rate is calculated by dividing the total number of lost customers during a period by the total number of customers you had at the beginning of that period, then multiplying by 100.

What is the difference between customer churn and revenue churn?

Customer churn tracks the percentage of individuals who cancel, while revenue churn tracks the sheer dollar amount lost. Losing one high-paying enterprise client causes the same customer churn as losing one basic user, but the revenue churn impact is vastly different.

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SaaS Churn Rate Calculator

Calculate your customer or revenue churn rate to evaluate SaaS or subscription business retention.

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Customers at Beginning of Period

New Customers Acquired

Customers at End of Period

SaaS Customer Churn Rate

In any subscription-based or SaaS (Software as a Service) business model, keeping existing customers is just as vital as acquiring new ones. Your churn rate is the percentage of subscribers who actively drop out or cancel your service during a given period.

Formula for Calculating Churn

Lost Customers = (Beginning Customers + New Customers) - Ending Customers

Customer Churn Rate = (Lost Customers / Beginning Customers) × 100

Revenue Churn vs. Customer Churn

While customer churn tracks the raw number of individuals who cancel their subscription, revenue churn tracks the sheer dollar amount that your company lost from those cancellations. In B2B or tiered-pricing models, losing one high-paying enterprise customer causes the exact same customer churn spike as losing one introductory-tier user. But the revenue churn impact is devastatingly different.