Churn Rate


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Churn Rate

The rate at which customers terminate their relationships with a company over a given period of time. For example, if five customers in 50 discontinue their cable every month, the churn rate is 5%. The church rate contrasts with the growth rate, which, in this case, is defined as the number of new clients or customers. If a company is to grow, the growth rate must consistently exceed the churn rate. The churn rate is important in the telecommunications industry, where several companies operate in a geographical area and compete for customers.
References in periodicals archive ?
For example, the churn rate of Web developers in the San Jose metro grew from 47 percent in 2003 to 93 percent in 2013.
On the whole, churn rates are aligned on postpay globally as well as across MEA region.
Comparing churn rates between operators and countries where habits and culture are different is also tricky.
Figure 15: Blended versus prepaid churn rates for Vodafone group subsidiaries in Western Europe
Table 6 - Pay TV industry annual churn rates - 1996 - 2007
We also cover Softbank's operational performance such as churn rates, subscriber growth, handset replacement rates, sales incentives, and capex.
In the first quarter of 2006, Verizon Wireless posted a churn rate -- the percentage of customers who leave their carrier quarterly -- of 1.
For the fifth consecutive quarter, Verizon Wireless has the industry's lowest customer churn rate -- the percentage of customers who disconnect their service, and an important indicator of customer loyalty.
2% churn rate -- the percentage of customers who disconnect their service in a given period of time -- Verizon Wireless boasted a churn rate well below the industry average.
Verizon Wireless superior network coverage and reputation have presented recurring opportunities for strong subscriber growth and the lowest churn rate in the industry.
33% churn rate -- the percentage of customers who disconnect their service in a given period of time -- Verizon Wireless boasts the lowest Q1 2005 churn rate, well below the industry average.