Churn Rate Calculator

Measure customer and revenue churn for subscription businesses

What is this? Churn rate is the percentage of customers or revenue you lose in a given period. A 5% monthly churn rate means you lose 5% of your customers every month — meaning your entire customer base turns over in 20 months without new signups.

Why it matters: Reducing churn by just 1% can double the value of your business. It's the most leverageable metric in SaaS.

Industry benchmarks: B2B SaaS: 3-5% monthly churn (good) / 7%+ (concerning). B2C: 5-7% monthly. Enterprise: <1% monthly.
Monthly Snapshot
Churn Metrics
Customer Churn Rate
—
% lost this month
Revenue Churn Rate
—
% MRR lost
Net New Customers
—
Gross Retention
—
customers kept
Annual Churn Rate
—
projected yearly
Customer Half-Life
—
when 50% remain
Benchmark Comparison
IndustryGoodConcerning
Early SaaS5-7%/mo>10%/mo
Growth SaaS2-3%/mo>5%/mo
Enterprise<1%/mo>2%/mo

Churn benchmarks vary significantly by industry, business model, and pricing. Use cohort analysis for precise measurement.

SaaS Retention & Churn Tools

Tools that pair well with this calculator — selected by our team.

HubSpot →
40–60% recurring — customer success, NPS
Klaviyo →
Email & SMS for SaaS — 40% first year
ToolBest ForNetwork
HubSpot40–60% recurringPartnerStack
KlaviyoEmail & SMS for SaaSDirect

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Frequently Asked Questions

What is a healthy churn rate?

For B2B SaaS: 3-5% monthly churn (net) is acceptable; below 2% is excellent. For B2C: up to 7% monthly. Annual churn of 5% for B2B is the target. Every 1% reduction in churn increases NRR and LTV dramatically.

What's the difference between gross and net churn?

Gross churn = customers lost / starting customers. Net churn = (customers lost - customers gained from upsells) / starting customers. A company with 5% gross churn but 3% expansion is only losing 2% net. Negative net churn is the goal.

How do I reduce churn?

Improve onboarding (first 7 days are critical), identify at-risk customers with product usage signals, offer proactive support, implement customer success programs, and gather feedback at every touchpoint. Churn is often a failure of expectation-setting, not product quality.