Retention
Churn Rate Calculator
Calculate the percentage of customers or revenue lost over a given period. High churn is the silent killer of SaaS businesses.
What this calculator does
The Churn Rate Calculator measure customer and revenue attrition, then compares your result against operator benchmarks (SMB: 3-7% monthly. Enterprise: < 1% monthly.). Enter your numbers below and you'll get a result, a benchmark band, and a plain-English interpretation in under two minutes.
Inputs
Beginning of month/quarter
Churned/cancelled customers
Results
Monthly churn rate
5.0%
95.0% retention
Annualized churn
46.0%
Retention rate
95.0%
Churn vs SaaS benchmarks
Mid-market
What this means
5.0% monthly churn is typical for SMB but concerning for mid-market. Investigate: is it onboarding failure, product gaps, or customer fit issues?
Formula
Churn Rate = (Lost Value / Starting Value) × 100Benchmarks: SMB: 3-7% monthly. Enterprise: < 1% monthly.
Sources: OpenView 2024 SaaS Benchmarks, ChartMogul Retention Reports, ProfitWell Pricing Studies, and Pressense operator data.
Frequently asked questions
Customer churn vs Revenue churn?
Customer churn tracks logos lost. Revenue churn tracks dollars lost. You can have high customer churn but negative revenue churn if your retained customers expand significantly. Both numbers tell a story; report both.
What is a 'good' churn rate?
It depends on your market. Selling to very small businesses naturally yields higher churn (3-7% monthly) because SMBs go out of business or pivot. Mid-market should target 1-2% monthly; enterprise should be under 1% monthly.
How do I diagnose where churn is coming from?
Slice churn by cohort (signup month), segment (size, industry), and tenure. Onboarding churn (first 30 days) means activation is broken. Mid-tenure churn means value is fading. Late-tenure churn often signals a competitive substitute or budget event.
About this calculator
Built and reviewed by the Pressense team, a strategy and systems partner working with B2B SaaS operators on unit economics, retention, GTM, and positioning. Every calculator in this library uses public benchmarks from OpenView, ChartMogul, ProfitWell, and KeyBanc, supplemented with anonymised data from the operators we partner with.
Disclaimer: This calculator is for educational and planning purposes only. Outputs are estimates based on the inputs you provide and industry benchmarks, not financial, tax, legal, or investment advice. Validate all results with a qualified professional before making decisions about funding, valuation, hiring, or capital allocation.