# Churn

> The share of paying customers, or of recurring revenue, that stops in a period.

Source: https://datacenter.so/glossary/churn
Also called: churn rate, customer churn, revenue churn.

Customer churn is customers who stopped paying in a period divided by the customers you had. Stripe divides customers lost in the last 30 days by the active customers 30 days ago plus the new ones since ([Stripe](https://docs.stripe.com/billing/subscriptions/analytics)).

Revenue churn is the [MRR](https://datacenter.so/glossary/mrr) lost to cancellations and downgrades, divided by MRR at the start. When upgrades from the customers who stay outweigh it, net revenue retention goes above 100 percent.

Example: you start the month with 200 customers and $20,000 MRR. Five customers on $50 plans cancel, and one on $2,000 cancels. Customer churn is 6 ÷ 200 = 3 percent. Revenue churn is $2,250 ÷ $20,000 = 11.25 percent. Say which one you mean. See [MRR and SaaS attribution](https://datacenter.so/guides/saas-mrr-attribution).

## Related terms

- https://datacenter.so/glossary/mrr
- https://datacenter.so/glossary/ltv
- https://datacenter.so/glossary/conversion
