Customer lifetime value

Churn rate is the percentage of customers who stop doing business with a company during a set period. It’s calculated as customers lost during the period divided by customers at the start of the period. Logo churn counts customer accounts. Revenue churn measures dollars lost. The two figures can diverge if the customers who left were smaller than average. Churn also splits by cause: voluntary churn, where customers choose to leave, and involuntary churn, caused by failed payments or expired cards. A monthly subscription and an annual contract produce structurally different churn math, so comparisons only hold within the same industry and billing cycle.

A churn signal is a pattern in support contacts that predicts a customer is about to leave, such as repeated escalations, cancellation questions, or a sharp drop in usage alongside unresolved complaints. Identifying these patterns early lets retention teams intervene while the relationship is still recoverable.

Net Promoter Score is a likelihood-to-recommend score used as a loyalty benchmark, calculated by subtracting the percentage of detractors from the percentage of promoters. It produces a single comparable number, but the free-text comment attached to each score carries most of the diagnostic value.

Voice of customer is the discipline of turning reviews, support tickets, surveys, and conversations into operational decisions. The distinguishing feature of a working programme is the closed loop: findings reach the team that can fix the cause, and the resulting change is measured against contact volume.