Do not calculate retention based on customer stage
Posted: Tue Mar 18, 2025 9:08 am
There's an opportunity to win back users when they cancel before the end of the period. If they're counted as churned, you're missing a chance to retain them and maintain revenue.
If, in one month, 12 out of 100 users canceled and were unrecoverable, the situation would be absolutely unsustainable over time, since after 6 months more than half of the original customer base would be lost.
Many of these users may have frustrations or ebay database obstacles that can be easily overcome with a customer service call. If half of those who canceled can be persuaded, the retention rate will increase to 92%; and after six months, 22% of customers will be retained.
By implementing practices to retain canceled customers, you can increase your user retention rate month over month. Canceled customers shouldn't be counted as churned, because in doing so, you lose the opportunity to encourage them to continue.
The average CRR over a customer's lifetime is never uniform. Ignoring this reality prevents improving metrics with actions specifically targeted at each stage of the cycle.
Retention rates vary in the early, middle, and later stages. Therefore, it's important to take this into account when breaking down user behavior into the short, medium, and long term.
If, in one month, 12 out of 100 users canceled and were unrecoverable, the situation would be absolutely unsustainable over time, since after 6 months more than half of the original customer base would be lost.
Many of these users may have frustrations or ebay database obstacles that can be easily overcome with a customer service call. If half of those who canceled can be persuaded, the retention rate will increase to 92%; and after six months, 22% of customers will be retained.
By implementing practices to retain canceled customers, you can increase your user retention rate month over month. Canceled customers shouldn't be counted as churned, because in doing so, you lose the opportunity to encourage them to continue.
The average CRR over a customer's lifetime is never uniform. Ignoring this reality prevents improving metrics with actions specifically targeted at each stage of the cycle.
Retention rates vary in the early, middle, and later stages. Therefore, it's important to take this into account when breaking down user behavior into the short, medium, and long term.