MetricsSaaS

Churn Rate

The percentage of customers or revenue lost over a given period.

Churn rate measures customer (logo) or revenue loss in a period. Logo churn = customers lost / customers at start of period. Revenue churn = revenue lost / ARR at start of period. Net revenue retention (NRR) accounts for both churn and expansion — if expansion from existing customers exceeds lost revenue, NRR exceeds 100%. High churn is often a signal of ICP misfit, onboarding gaps, or unmet expectations set during the sales process — all areas where PMM has direct influence.

Related terms

Net Revenue Retention (NRR)

A metric that measures revenue from existing customers including expansion, contraction, and churn.

Customer Lifetime Value (LTV)

The total revenue a company can expect from a single customer account over the life of the relationship.

Product-Market Fit (PMF)

The degree to which a product satisfies a strong market demand — the point where growth becomes pull-based rather than push-based.

Put this into practice

AI Marketing Workbench gives you the modules to apply every concept in this glossary — positioning, ICP, messaging, battlecards, and GTM planning in one connected workspace.

Start free Browse glossary