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Churn Cost Calculator

Calculate the true cost of customer churn including lost revenue and wasted acquisition costs. See how small improvements in retention create massive bottom-line impact.

Customer Base

25 customers/month • 45.96% annual

Monthly recurring revenue

Months before churning

Acquisition Economics

Cost to acquire one customer

Customer LTV:$12,000
LTV:CAC Ratio:6.00:1

✓ Healthy ratio (3:1+)

Churn Health Score

Needs Attention

Churn is higher than industry average. Address retention now.

Monthly Revenue Loss

$12,500

25 churned customers

Wasted CAC per Month

$50,000

Acquisition cost down the drain

Total Annual Loss

$750,000

230 customers/year

Annual Churn Impact Breakdown

Lost Revenue$150,000
20%
Wasted Acquisition Costs$600,000
80%
Total Annual Impact:$750,000

Retention Improvement Scenarios

Reduce Churn by 1%

From 5.00% to 4.00%

Annual Savings

$150,000

60 customers saved per year20% cost reduction

Reduce Churn by 2%

From 5.00% to 3.00%

Annual Savings

$300,000

120 customers saved per year40% cost reduction

Reduce Churn by 5%

From 5.00% to 0.00%

Annual Savings

$750,000

300 customers saved per year100% cost reduction

💡 Industry Insight

A 1% reduction in churn can increase company value by 5-7%. For SaaS companies, reducing churn from 5% to 4% typically increases LTV by 25%.

Retention vs. Acquisition Economics

New Customer Acquisition

Cost per customer:$2,000
Difficulty:High
Success rate:5-20%

Customer Retention

Cost per customer:$400
Difficulty:Low
Success rate:60-70%

📊 It costs 5-25x more to acquire a new customer than to retain an existing one

Stop Losing $750,000 Annually

Convertify's Retention Optimization service helps you identify why customers churn and implement proven strategies to keep them. Our clients reduce churn by an average of 35%.