Net Negative Churn

Measures the increase in revenue from existing customers despite churn.

Net Negative Churn

Measures the increase in revenue from existing customers despite churn.

Net Negative Churn

Measures the increase in revenue from existing customers despite churn.

Formula

NNC = (Revenue from Expansion - Revenue from Churn) / Total Revenue at Start of Period * 100

Know your metric

Importance of

Net Negative Churn

  1. Revenue Retention

Indicates how well the company retains and grows revenue from existing customers.


  1. Customer Loyalty Insight

Suggests higher customer satisfaction and loyalty.


  1. Financial Health Indicator

Signals strong financial health if positive.

Drawbacks of

Net Negative Churn

  1. Complex to Calculate

Involves multiple revenue streams.


  1. High Variability

Subject to fluctuations based on customer behaviour.


  1. Misleading

Can obscure actual customer loss.

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