Churn

Churn refers to the loss of customers or revenue — when a customer cancels a subscription, declines to renew a contract, or stops purchasing from a vendor. For subscription-based B2B businesses, churn is a primary threat to revenue predictability and growth: a company with 20% annual churn must replace a fifth of its customer base every year just to maintain flat revenue. CRM-connected customer success platforms help identify churn risk through behavioral signals — declining product usage, unresolved support cases, reduced engagement with customer success teams — enabling proactive intervention before a customer reaches the point of cancellation. Reducing churn by even a few percentage points has an exponential impact on enterprise value.