apply a simple formula. First, determine the period you usa telegram accounts want to calculate for, such as a month or a quarter. Then, divide the number of customers who churn during that period by the total number of customers at the beginning of that period.
Multiply the result by 100 to get a percentage. For example, if you lost 20 customers in a given month and at the beginning of the month you had 500 customers, your churn rate would be: (20 / 500) * 100 = 4%.
Reasons for high churn rate
A high churn rate can result from various factors that influence customers' decisions to abandon a company's services or products. Often not just one, but many at once. One of the most common reasons for an increase in churn is customer dissatisfaction with the quality of services or products.
It's simple: customers expect a company to meet their expectations and deliver value. If it doesn't, they will start looking for alternative solutions. In practice, for example, cutting costs on the quality of materials can lead to losses in the long run. At some point, even the most loyal customers can start to lose trust in a company, especially in the case of luxury products, where expectations regarding quality are particularly high. Another factor that can lead to a high churn rate is the lack
of customer engagement. Companies that do not maintain active contact with customers and do not provide valuable content or offers may notice that their contact base is shrinking after some time. It is important to remember that no customer is given to a company once and for all - established relationships must be constantly strengthened.