Churn rate

The percentage of customers who cancel or stop using a subscription service during a given period.

Glossary

What is Churn rate?

What is Churn rate?

Churn rate measures how often customers stop using a product or subscription within a specific time period. It is one of the most important metrics for SaaS and subscription-based businesses because high churn can significantly impact growth and revenue. By analyzing churn patterns, companies can identify issues in customer experience, onboarding, pricing, or product value. Reducing churn often requires improving retention strategies, customer support, and feature adoption.