How to Calculate the Churn Rate
This video shows how to calculate the churn rate.
The churn rate is the percentage of customers who stop being a customer during a period. For example, if 7% of the subscribers to an online movie rental business cancel their memberships each month, the monthly churn rate is 7%.
Companies closely monitor the churn rate; if it is increasing, this suggests customers are becoming increasingly dissatisfied.
The churn rate can be used to calculate the average length of time that a customer remains a customer. This is done by inverting the churn rate. For example, if a company has a monthly churn rate of 5%, this means the average customer remains a customer for 20 months (because 1/0.05 = 20).
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Видео How to Calculate the Churn Rate канала Edspira
The churn rate is the percentage of customers who stop being a customer during a period. For example, if 7% of the subscribers to an online movie rental business cancel their memberships each month, the monthly churn rate is 7%.
Companies closely monitor the churn rate; if it is increasing, this suggests customers are becoming increasingly dissatisfied.
The churn rate can be used to calculate the average length of time that a customer remains a customer. This is done by inverting the churn rate. For example, if a company has a monthly churn rate of 5%, this means the average customer remains a customer for 20 months (because 1/0.05 = 20).
—
Edspira is the creation of Michael McLaughlin, an award-winning professor who went from teenage homelessness to a PhD. Edspira’s mission is to make a high-quality business education accessible to all people.
—
SUBSCRIBE FOR A FREE 53-PAGE GUIDE TO THE FINANCIAL STATEMENTS, PLUS:
• A 23-PAGE GUIDE TO MANAGERIAL ACCOUNTING
• A 44-PAGE GUIDE TO U.S. TAXATION
• A 75-PAGE GUIDE TO FINANCIAL STATEMENT ANALYSIS
• MANY MORE FREE PDF GUIDES
* http://eepurl.com/dIaa5z
—
GET CERTIFIED IN FINANCIAL STATEMENT ANALYSIS, IFRS 16, AND ASSET-LIABILITY MANAGEMENT
* https://edspira.thinkific.com
—
LISTEN TO THE SCHEME PODCAST
* Apple Podcasts: https://podcasts.apple.com/us/podcast/scheme/id1522352725
* Spotify: https://open.spotify.com/show/4WaNTqVFxISHlgcSWNT1kc
* Website: https://www.edspira.com/podcast-2/
—
GET TAX TIPS ON TIKTOK
* https://www.tiktok.com/@prof_mclaughlin
—
ACCESS INDEX OF VIDEOS
* https://www.edspira.com/index
—
CONNECT WITH EDSPIRA
* Facebook: https://www.facebook.com/Edspira
* Instagram: https://www.instagram.com/edspiradotcom
* LinkedIn: https://www.linkedin.com/company/edspira
—
CONNECT WITH MICHAEL
* Twitter: https://www.twitter.com/Prof_McLaughlin
* LinkedIn: https://www.linkedin.com/in/prof-michael-mclaughlin
—
ABOUT EDSPIRA AND ITS CREATOR
* https://www.edspira.com/about/
Видео How to Calculate the Churn Rate канала Edspira
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