Churn
Dimensions
MRR Churn
Customer Churn
Churn Rate
DEFINITION
Take the number of customers that you lost last quarter and divide that by the number of customers that you started with last quarter.
Formula
Churn rate = Churned customers in period / Total customers at start of period
DIMENSION
MRR Churn Rate
The rate at which MRR is renewed.
Customer Churn Rate
The rate at which your customers are cancelling their subscriptions.
Net MRR Churn Rate
The rate at which MRR is lost through downgrades and cancellations offset by account expansions.
\(Net\ MRR\ Churn\ Rate=\frac{Sum\ of\ chum\ & \ \contraction\ MRR\ -\ Sum\ of\expansion\ &\ reactivation\ MRR}{MRR\ at\ start\ of\ period}\)