Key Metrics for Tracking Customer Retention

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Here are the key customer retention metrics you should track to understand your customer retention rate:

Customer churn rate (CRR)
The customer churn rate tells you the percentage of customers who stop using your service or product during a given period - lack of

customer loyalty
CRR = (Lost customers / Total number of customers at the beginning of the time period) x 100

Example: If you had 1,000 customers at the beginning of the month and lost 50, your board members email list churn rate would be (50/1,000) x 100 = 5%.

A high customer churn rate means you're losing customers faster than you're keeping them, which can impact long-term growth.

Conversely, a lower churn rate indicates that your retention efforts are working and customers are sticking around.

CRR = (Lost customers / Total number of customers at the beginning of the time period) x 100

Example: If you had 1,000 customers at the beginning of the month and lost 50, your churn rate would be (50/1,000) x 100 = 5%.

More information:

How to build a churn prediction model