Churn is an integral part of every industry, and it is dangerous to every organization’s growth. To be vary of churn and plan your process around the strategies help businesses grow their revenue while keeping their customer base intact.
We have researched and compiled some of the techniques that will come in handy for business owners across the globe while tackling the SaaS churn issue.
Churn is the calculated interpretation of the probability rate at which your customers cancel subscriptions of your SaaS solutions or opt out of from your purchase cycle.
Reducing the churn rate is important as your businesses’ survival and growth depends on it. Designating a certain time for the calculation of customer churn rate is important. Count the total number of acquired customers. Then, find out the number of customers who churned during that time.
Once you do this, divide the number of customers who churned by the total number of customers acquired, and multiply the outcome by 100%.
For instance, there were 10 customers who opted out of your subscription cycle and during that time 100 customers had signed up originally. With the above rule in play, this will be your churn rate.
10 ÷ 100 = .01 x 100% = 10%
With Salesmate, it’s simple, personal and productive for everyone. Sign up for a 15-day risk-free trial today.
Try Salesmate For FreeNo credit card required