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Finance

Customer churn & retention rate calculator

Share of customers lost over a period, and the flip side: how many you kept.

Published 9 August 2026 · Updated 22 September 2026

What this calculator does

Churn is the share of customers who left during a period, and retention is simply its complement. Both describe the same thing, but they lead to different conversations: churn draws attention to a leak, retention to what is working.

New customers can mask a serious problem. Losing 300 of 2,000 customers is 15.0 per cent churn, and adding 180 new ones still leaves the business smaller than it started, at −6.00 per cent net growth.

The formula

FormulaChurn rate = Customers lost / Customers at start × 100; Retention rate = 100 − Churn rate

Churn divides customers lost by customers at the start of the period. Retention is the remainder. The closing count adds new customers to what survived, and net growth compares that against the opening figure.

TermMeaning
Churn rateCustomers lost as a share of those present at the start.
Retention rateThe complement of churn: the share who stayed.
Net growthThe change in total customers once new arrivals are counted.

The inputs explained

FieldWhat to enter
Customers at start of periodCustomers at the beginning of the period.
Customers lost during periodCustomers who left during the period.
New customers gainedNew customers gained during the period.

When to use it

Diagnosing stalled growth

Strong acquisition with flat totals almost always means churn is absorbing it.

Estimating customer lifetime

Monthly churn inverted gives the average months a customer stays.

Tracking the effect of a change

Churn before and after a product or pricing change is the clearest measure of its reception.

Worked examples

Every figure in the tables below is produced by this page’s own calculator at build time, so the numbers and the tool always agree. Select any row to load that scenario.

How much churn can acquisition absorb?

The same acquisition against three levels of loss.

2,000 customers at the start, 180 new customers gained
Customers lostChurn rateNet customer growth
60 lost3.00%6.00%
140 lost7.00%2.00%
300 lost15.0%-6.00%
Losing 60 customers is 3.00 per cent churn and the base still grows 6.00 per cent. At 300 lost, churn reaches 15.0 per cent and the same 180 new customers leave the business shrinking at −6.00 per cent.

Questions

Why does churn matter more than acquisition?

Because it compounds against you. Acquisition adds customers once; churn removes them continuously, so a high rate means running to stand still. It is also usually cheaper to retain a customer than to win a new one.

How does churn relate to customer lifetime?

Average lifetime is roughly one divided by the churn rate for the period. Three per cent monthly churn implies an average lifetime of about 33 months, which is how churn feeds directly into lifetime value.

What is revenue churn?

The same calculation applied to revenue rather than customer count. It matters because losing one large account can hurt far more than losing several small ones, which a customer-count measure would miss entirely.

What is negative churn?

When existing customers expand their spending by more than departing customers take away, so revenue from the existing base grows without any new customers. It is a strong position and rare outside subscription software.

For what it costs to replace those customers, see the customer acquisition cost calculator. For what each one is worth, see the SaaS lifetime value calculator.