# Churn Rate

> Understand churn rate, the percentage of subscribers who cancel their recurring subscriptions, and how to reduce it for sustainable growth.

Canonical URL: https://crevio.co/glossary/churn-rate

##  What is Churn Rate?

Churn rate is the percentage of customers or subscribers who leave during a specific time period. If you run a [membership site](/glossary/membership-site) or subscription program, churn shows how well you’re holding onto the people you’ve already won.

## Calculating Churn

```
Monthly Churn (%) = (Customers lost this month ÷ Customers at start of month) × 100
```

Track churn monthly (or even weekly for early-stage products) and pair it with [member [retention](/glossary/retention)](</glossary/member-[retention](/glossary/retention)>) and lifetime value metrics.

## Types of Churn

- **Voluntary**: Members cancel because they’re not getting value, financial priorities change, or they complete the transformation
- **Involuntary**: Failed payments, expired cards, or billing issues—easier to fix with [automation](/glossary/automation), reminders, and smart retries

## Why Churn Matters

- Affects revenue predictability and growth; high churn = running on a treadmill
- Reduces customer lifetime value, making acquisition more expensive
- Signals gaps in product, community, or onboarding experience
- Impacts testimonials and referral loops across your [value ladder](/glossary/value-ladder)

## Reducing Churn

- **Onboard with intention**: deliver quick wins, clear next steps, and personalized check-ins
- **Deliver consistent value**: publish new content, host live sessions, and showcase member wins
- **Support engagement**: use [community engagement plans](/glossary/community-engagement-plan), accountability pods, and [callout posts](/glossary/callout-post)
- **Prevent billing failures**: automated dunning emails, update-card flows, and alternative payment methods
- **Collect feedback**: cancellation surveys, quarterly interviews, and sentiment tracking inside your [community platform](/glossary/community-platform)

## Benchmarking

- Sub-5% monthly churn is excellent for premium memberships
- 7–10% monthly churn is common for early-stage communities or [low-ticket](/glossary/low-ticket) products
- Track cohorts separately—[retention](/glossary/retention) often improves when members graduate into advanced programs or [high-ticket](/glossary/high-ticket) experiences