Churn Rate Calculator

Customer Churn vs Revenue Churn

Customer churn (also called logo churn) measures how many customers you lose, regardless of how much they were paying. A startup paying $50/month counts the same as an enterprise paying $5,000/month.

Revenue churn measures how much MRR you lose from churned customers. This gives you a more accurate picture of the financial impact of churn.

Both metrics matter. High customer churn with low revenue churn might mean you're losing small accounts but keeping enterprise customers—which could be fine depending on your strategy.

Monthly vs Annual Churn

We calculate annual churn using compound math, not simple multiplication:

This matters because a 5% monthly churn rate doesn't mean 60% annual churn—it's actually about 46% when compounded. The remaining customers each month form a smaller base for the next month's calculation.

How to Reduce Churn

• Understand why customers leave. Exit surveys and cancellation flows can reveal patterns.
• Improve onboarding. Customers who don't reach their "aha moment" churn faster.
• Monitor engagement. Dropping usage often predicts churn weeks before it happens.
• Offer annual plans. Annual contracts have lower churn than monthly billing.
• Build switching costs. Integrations, data history, and team workflows make leaving harder.

Related Metrics

Churn is closely connected to other key SaaS metrics:

• Net Revenue Retention (NRR) — accounts for churn plus expansion revenue
• Gross Revenue Retention (GRR) — retention without expansion, always ≤100%
• Customer Lifetime Value (LTV) — directly impacted by churn rate
• Cohort Analysis — see how churn varies by signup date