Meaning of Churn

Simple definition

Churn refers to the rate at which customers stop using a service or product over a given period. It is often used to measure customer retention and satisfaction.

How to use Churn in a professional context

In digital marketing and subscription-based businesses, churn is a key metric used to evaluate customer loyalty. High churn rates can indicate dissatisfaction or a need to improve products or customer service.

Concrete example of Churn

If a streaming service has 1,000 subscribers at the start of the month, and 100 of them cancel their subscriptions by the end, the churn rate would be 10% (100 ÷ 1,000). This shows the company lost 10% of its customers during that period.