Customer Churn Calculator

Customer churn is the rate at which customers leave your business, and this calculator turns your numbers into the churn and retention figures every subscription company watches. Churn is the silent killer of recurring-revenue businesses: every customer who cancels is one you must replace just to stay flat, and a high churn rate quietly caps how large you can ever grow. The customer churn rate is simply the number of customers who left during a period divided by the number you started with, expressed as a percentage. Its mirror image is the retention rate, the share who stayed, and the two always add to 100 percent. This calculator gives you both, plus the annualised picture. You enter the number of customers lost in the period and the number of customers you started with, and it returns the monthly churn rate, the retention rate, the annualised churn, and the count lost. The results update as you type, so you can see how even a small monthly churn compounds into a large annual loss. Use it to monitor retention, to set churn-reduction targets, or to understand the true cost of customers leaving. The monthly churn rate is customers lost divided by starting customers; the retention rate is one minus that; and the annualised churn compounds the monthly rate over twelve months, which is why a seemingly modest 2 percent monthly churn becomes more than 20 percent over a year. Customer churn pairs with revenue churn for the full story, since losing many small customers and losing a few large ones look very different in revenue terms. Reducing churn is one of the highest-leverage things a SaaS business can do, because retained customers cost nothing to re-acquire and their lifetime value rises sharply as churn falls.

Churn rate = customers lost / starting customers. Retention = 1 - churn. Annualised compounds the monthly rate over 12 months. Pair with revenue churn for the full picture.