Churn Rate Calculator
Calculate customer churn, revenue churn, NRR and LTV.
Frequently Asked Questions
How do you calculate churn rate?
Customer churn rate is customers lost during a period divided by customers at the start of it. Lose 42 of 1,200 customers in a month and monthly churn is 3.5%. Revenue churn uses MRR instead: churned plus downgraded MRR divided by starting MRR.
What is the difference between customer churn and revenue churn?
Customer (logo) churn counts accounts, so every cancellation weighs the same. Revenue churn weights losses by what each customer paid and, in its net form, credits upgrades. A business can lose many small customers yet have low or even negative net revenue churn.
How do I convert monthly churn to annual churn?
Annual churn = 1 − (1 − monthly churn)^12, because each month applies to a smaller base. 3% monthly churn is about 30.6% a year, not 36%. The calculator includes a converter for monthly, quarterly and annual rates.
What is net revenue retention (NRR)?
NRR is the share of recurring revenue you keep from existing customers after churn, downgrades and upgrades. Above 100% means existing customers grow revenue on their own; top SaaS companies reach 120% or more a year.
What is a good churn rate?
For B2B SaaS, under 1% monthly customer churn is excellent (typical of enterprise), 1–3% is healthy for mid-market, and 3–7% is common for small-business and consumer subscriptions. Compare against companies with similar customers and prices.
How is customer lifetime value calculated from churn?
Average customer lifetime is 1 ÷ monthly churn, and LTV is average monthly revenue per customer × gross margin × that lifetime. At $100 per month, 80% margin and 3% churn, LTV is about $2,667.