Churn Rate

The percentage of customers who stop using a service or product over a specific period.

Churn Rate, also known as attrition rate, is a metric that measures the percentage of customers or subscribers who discontinue their relationship with a company or stop using its products/services during a given time frame. A high churn rate can significantly impact revenue and growth, as it's often more expensive to acquire new customers (Customer Acquisition Cost (CAC)) than to retain existing ones. Advertising efforts can indirectly influence churn by reinforcing brand value and promoting customer engagement, but churn is more directly impacted by product satisfaction, customer service, and pricing.

Tags:customer retentionattritionmetricssubscriptionloyalty

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