Finance

Churn Rate Calculator

Measure the percentage of customers who cancel or don't renew during a specific period.

Customers at Start of Period

Customers Lost During Period

New Customers Acquired

Period

Avg Revenue Per User ($/mo)

Customer Acquisition Cost ($)

Formulas:
Churn Rate = Customers Lost / Customers at Start × 100
Retention Rate = 100% − Churn Rate
Revenue Churn = Lost Customers × ARPU
Customer Lifetime = 1 / Monthly Churn Rate

Understanding Churn Rate

Churn rate measures the percentage of customers who leave during a given period. For subscription businesses (SaaS, streaming, telecom), churn is a critical metric that directly impacts growth and valuation.

Churn Rate Benchmarks

Business Type	Monthly Churn	Annual Churn
Enterprise SaaS	0.5-1%	5-10%
SMB SaaS	3-5%	30-50%
Consumer Subscriptions	5-10%	45-70%
Telecom	1-2%	12-25%