Churn rate
DefinitionGrowth
Churn rate
The percentage of customers or revenue lost in a period. The gravity a subscription business fights: at 5% monthly churn half the base is gone within 14 months, and retention improvements compound harder than acquisition wins.
Evidence from the library
21% vs 10.9%Challenger brands convert loyalty into profit more reliably than penetrationStat-$29The average US brand loses money on every new customer it acquires.Stat2% per quarterEvery dark quarter costs future revenue that takes years to rebuildWarning77% revenue vs 9% profitRevenue is the easy result, profit is the rare oneStat50%Affinity nearly doubles repeat purchaseStat
Source
Marketing Definitions
standard subscription-business practice
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