The share of subscribers who cancel in a given period.
What is churn rate
Churn rate is the percentage of subscribers who stop subscribing during a period, usually a month. It’s the opposite of retention: a 5% monthly churn rate means 95% of subscribers stay each month.How to calculate churn rate
Churn rate = subscribers lost in the period ÷ subscribers at the start of the period For example, if you start the month with 1,000 subscribers and 50 cancel, your monthly churn rate is 5%. Don’t count new subscribers from the same month in either number.Voluntary and involuntary churn
- Voluntary churn: subscribers cancel themselves. Reduce it with a cancellation flow, skips, pauses and product swaps.
- Involuntary churn: payments fail and aren’t recovered. Reduce it with dunning.