Customer churn

What is Customer Churn?

The percentage of customers that have not paid for your product during a certain time frame.

Why is Customer Churn Important?

At the very least, it takes 5x more money to acquire a new customer than to retain one.

Managing customer churn would help you.

Save customer acquisition costs.

Focus on long-term retention and recurring profits.

Increasing profitability with lesser efforts.

Understand users’ pain-points.

To Calculate Customer Churn

Select a time period, generally a month or a quarter.

Note down the no. of new customers during this period.

Note down the no. of customers lost during this period.

Divide Acquired Customers with Lost Customers, and multiply that answer with 100.

Tips to reduce Customer Churn

Invest in training your support and sales reps.

Make a great first impression with customers.

Open up multiple avenues for user feedback.

Constantly fix issues in your product.