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Customer churn measures the share of customers lost during a period.
Customer churn measures the share of customers lost during a period. In SaaS, logo churn helps explain whether the customer base is stable before looking at revenue expansion.
Customer churn rate = Customers lost during period / Customers at start of period
Customer churn affects gross revenue retention, net revenue retention, and CAC payback. A business with high churn must replace customers before it can grow.
Related calculator: Customer Churn Rate Calculator.