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Churn Rate Calculator

Calculate your Monthly Churn Rate to understand how many customers or how much revenue you are losing each month.

Calculator

The total number of customers who canceled their subscription during the month.
The total number of active customers you had when the month began.
MONTHLY CHURN RATE
2.00%
Excellent

Exceptional retention. Common for high-stickiness B2B SaaS.

Formula

Churn Rate = (Lost Customers ÷ Starting Customers) × 100

Worked example

If you started the month with 500 customers and lost 25 by the end of it, your churn rate would be: Churn Rate = (25 ÷ 500) × 100 = 5%

Customers Lost This Month
25
Customers at Start of Month
500

Industry benchmarks

Excellent

Exceptional retention. Common for high-stickiness B2B SaaS.

Average

Standard range for most B2C and SMB-focused SaaS.

High

Danger zone. Your business is losing customers too quickly to sustain long-term growth.

FAQ & key takeaways

How to read this metric

What it measures

Churn Rate is the percentage of your customers who cancel their recurring subscriptions within a given time period. It is the literal opposite of your Retention Rate.

Why it matters

Churn is the silent killer of SaaS businesses. If your churn rate is higher than your new customer acquisition rate, your business will eventually shrink. Understanding churn allows you to calculate the “leaky bucket” effect on your growth.

How to reduce Churn

  1. Customer Feedback: Regularly talk to churning customers to understand why they left.
  2. Improve Engagement: Use email and in-app notifications to bring users back into the product.
  3. Exit Surveys: Implement mandatory exit surveys to identify common pain points.
  4. Offer Pausing: Sometimes users just need a break; offer to pause their subscription instead of a full cancellation.