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Free customer retention and churn rate calculator
Calculate customer churn, retention, gross revenue retention and net revenue retention for your B2B clients, and see what a point of churn costs.
Free. No sign-up. Runs in your browser: nothing you type is stored or sent.
Your quarterly results
| Revenue churn (lost and downgrades) | 10.5% |
|---|---|
| Annualised customer churn | 26.8% |
| Average customer lifetime | 3.3 years |
| Customers at end of period | 42 |
| One point of revenue churn is worth | $12,000 per quarter |
How to read this
- Net revenue retention is 102%: expansion more than covers the revenue you lost, so the existing base grows without new clients.
- You lose more revenue than logos: larger clients are leaving. Check key accounts first.
- Gross revenue retention cannot exceed 100%. Net revenue retention can, when expansion beats losses.
Status labels are rules of thumb, not industry benchmarks. Compare your own numbers period to period, and by client size.
How to use the retention and churn rate calculator
- 01
Enter the period
Choose month, quarter or year and enter customers and recurring revenue at the start.
- 02
Add losses and expansion
Lost customers, their revenue, downgrades and expansion from the customers you kept.
- 03
Read the results
See churn, retention, gross and net revenue retention, annualised churn and average lifetime.
What is customer churn rate?
Customer churn rate is the share of customers you lost during a period, divided by the customers you had at the start. For B2B services, also track revenue churn, which counts lost fees and downgrades, because losing one large client can matter more than losing several small ones.
How to calculate churn and retention
Customer churn = customers lost ÷ customers at the start. Retention = 1 − churn. New customers added during the period are not counted.
Gross revenue retention = (starting revenue − lost revenue − downgrades) ÷ starting revenue. Net revenue retention adds expansion from the kept customers to the top of that calculation.
- Gross revenue retention cannot exceed 100%.
- Net revenue retention above 100% means expansion outweighs losses.
- Use the same group of customers for every line.
Logo churn vs revenue churn
Logo churn counts clients. Revenue churn counts money. If revenue churn is higher than logo churn, larger clients are leaving. If it is lower, mostly smaller clients are.
For agencies and consultancies with a few large accounts, check revenue churn and the health of each key account every month.
How to reduce client churn
Churn is usually visible months before it happens. Quiet sponsors, a single contact, missed goals and late payments are common signs. A health score and a regular account review help you act earlier.
Pair retention work with expansion: a client that is growing with you is less likely to leave.
Annualising churn
To compare monthly or quarterly churn with an annual figure, compound it: 1 − (1 − churn)^periods. A 2% monthly churn is about 21.5% a year, not 24%.
Frequently asked questions
How do you calculate churn rate?
Divide the customers you lost in a period by the customers you had at the start. Do not count customers added during the period.
What is a good churn rate for B2B?
It depends on client size, contract length and sector, so compare against your own history by segment. Longer contracts and larger clients usually churn less.
What is net revenue retention?
Net revenue retention is starting revenue minus losses and downgrades, plus expansion from kept customers, divided by starting revenue. Above 100% means the existing base grows by itself.
What is the difference between gross and net revenue retention?
Gross revenue retention ignores expansion and shows how much you keep. Net revenue retention includes expansion and shows the full change in the existing base.
Is the churn rate calculator free and private?
Yes. It is free, needs no account and runs in your browser. Nothing you enter is stored or sent.