FoundersOnly

Retention & Churn: posting guide and the terms we use

#1

Keeping a customer is usually cheaper than finding a new one, and for a subscription business it decides whether growth adds up or leaks away.

Terms

  • Churn: the share of customers, or of revenue, lost in a period
  • Retention: the share that stays
  • Activation: the point at which a new user first gets the value they came for
  • Voluntary churn: the customer chose to cancel
  • Involuntary churn: the payment failed

When you ask for help, include:

  • What you sell and your pricing model
  • Your churn figure and how you calculate it
  • When people leave: first week, first month, after a year
  • What they say when they cancel
  • What you have tried

Good threads here

  • What you learned from cancellation reasons
  • Onboarding changes and their effect
  • Recovering failed payments
  • Customers who came back, and why
  • Annual plans and what they did to retention

Very small customer counts make percentages jump around. If you have 20 customers, describe each cancellation and skip the rate.

Your perspective belongs here.

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