Business & Money

Churn Rate Calculator — Customer & Revenue Churn

Track how many customers and how much recurring revenue you lose. Enter customer counts for a period, and optionally MRR, to get churn, retention, average customer lifetime and net revenue retention.

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Customer churn rate

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Customers lost-
Customer retention rate-
Annualized churn-
Average customer lifetime-
Gross revenue churn-
Net revenue retention-

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How to calculate churn rate

  1. Choose the period and enter customers at the start, new customers added, and customers at the end.
  2. Customers lost is calculated as start + new − end.
  3. Optionally enter recurring revenue figures to measure revenue churn and net revenue retention.

Customer churn vs revenue churn

Customer churn is customers lost during the period divided by customers at the start. Customers you gain during the period are excluded from the denominator so that growth does not hide losses. Retention is 100% minus churn.

Monthly churn compounds: 3% a month means only about 69% of customers remain after a year, an annual churn of about 31%, not 36%. Average customer lifetime is roughly 1 ÷ churn rate, so 3% monthly churn implies about 33 months.

Revenue churn measures recurring revenue lost to cancellations and downgrades as a share of starting revenue. Net revenue retention (NRR) adds back expansion from upgrades and add-ons; above 100% means existing customers grow revenue even after churn, a hallmark of strong subscription businesses.

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Frequently asked questions

What is a good churn rate?

For B2B SaaS, monthly churn under 1–2% is strong; consumer subscriptions often see 3–8% a month.

How do I annualize monthly churn?

Annual churn = 1 − (1 − monthly churn)^12.

What is net revenue retention?

(Starting revenue − churned − downgraded + expansion) ÷ starting revenue.

Should new customers count?

Not in the denominator. Measure churn against customers you had at the start of the period.

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