Connect to IntercomChurn Rate
Churn Rate measures the percentage of customers who cancelled their subscription or stopped using the product in a given period. Support teams track churn rate because support quality is one of the top predictors of voluntary churn — customers who received poor support or had issues left unresolved are significantly more likely to cancel. Linking support metrics (DSAT, escalations, repeat contact rate) to downstream churn enables support teams to demonstrate their direct revenue impact.
Monthly Churn Rate = (Customers who cancelled in the month ÷ Customers at start of month) × 100
Annualized churn ≈ 1 − (1 − monthly churn)^12. A 2% monthly churn rate equals approximately 21.5% annual churn. Distinguish voluntary churn (customer-initiated cancel) from involuntary churn (payment failure) — support teams influence voluntary churn far more than involuntary.
B2B SaaS, monthly voluntary churn
Calculate your monthly churn rate
- 1Treating churn as a purely sales or CS metric — support has direct influence over voluntary churn, especially for customers who churned after unresolved support issues.
- 2Not correlating DSAT with subsequent churn — linking a customer's negative support rating to a later cancellation event quantifies support's revenue impact.
- 3Reporting only annual churn — monthly cohort churn analysis reveals seasonal patterns and the impact of specific product changes that annual figures obscure.
- 4Confusing customer churn with revenue churn (MRR churn) — a single enterprise customer churning has 100× the revenue impact of an SMB customer.