Churn rate: Indicator for customer loyalty

February 14, 2024

The churn rate measures the percentage of customers who stop using a product or service or cancel a subscription within a certain period of time. This metric is essential for companies to evaluate the effectiveness of their customer retention strategies and identify potential problems in customer satisfaction or product offerings. A low churn rate is a sign of strong customer retention and loyalty, which contributes to the long-term stability and growth of the company.