Definition
The rate at which customers cancel or fail to renew a contract within a given period, usually expressed as a monthly or annual percentage.
Business Importance
Proactive CX outreach and dedicated support pods are a direct lever against churn — first contact resolution and fast response times are consistently the strongest predictors of renewal.
Industry Examples
A business with 1,000 customers that loses 20 in a month has a 2% monthly churn rate.