Free Churn Rate Calculator | Easily calculate Customer loss in your business

If you run a SaaS platform, an e-commerce store, or a subscription-based service, churn rate is one of the most important health metrics for your business. It’s like a medical checkup for your customer base, helping you spot problems before they become revenue drains.

Our free Churn Rate Calculator makes it easy to measure how many customers you’re losing in a given time period and take steps to reduce it.

Let's dive deeper 👇

What Is Churn Rate?

Churn rate is the percentage of customers who stop using your product or service during a specific time frame.

This could mean app uninstalls, subscription cancellations, downgrades, or simply customers who never return.

Tracking churn gives you a clear picture of retention and helps you answer the critical question:

Are we keeping our customers happy enough to stay?

How to Calculate Churn Rate

Churn rate is measured using our formula , which compares the number of customers lost in a period to the number you started with.

For example:

If you start the month with 1,000 customers, end with 950, and gain 80 new customers during that month, your churn rate reflects the percentage of the original customers who left.

You can calculate it monthly, quarterly, or annually, depending on your business model.

What Is a Good Churn Rate?

Excellent: Under 5% annually (very low customer loss)

Average: 5–10% annually

High: Over 20% annually or above 10% monthly (needs urgent action)

Keep in mind: acceptable churn varies by industry. A niche SaaS product may tolerate slightly higher churn than a utility service, for example.

Why Churn Rate Is Important:

Churn rate directly impacts:

Revenue – fewer customers means less recurring income

Customer Lifetime Value (CLV) – high churn shortens how long customers spend with you

Profitability – replacing lost customers with new ones is often more expensive than retaining existing ones

By lowering churn, you reduce marketing spend, stabilize growth, and improve your brand’s long-term health.

How to Reduce Churn Rate

Here are five proven strategies to reduce churn:

1.Understand why customers leave

It's important to know why something is happening before you can actually fix it. Use surveys like this Churn Survey, feedback forms, and analytics to identify drop-off points.

2. Deliver exceptional value: Keep customers engaged with high-quality products, a smooth user experience, and fast support.

3. Create negative churn: Increase revenue from existing customers through upselling, cross-selling, or feature upgrades.

4. Reward loyalty: Implement reward points, discounts, or exclusive perks for long-term users.

5. Balance churn with acquisition: While gaining new customers is good, fixing retention issues yields better ROI.

Frequently Asked Questions