Revenue Churn

Revenue churn is the share of recurring revenue lost in a period because customers leave or reduce spend; churn measured in money rather than headcount.

Revenue churn is the money version of churn and its difference from user churn can be decisive. Logo churn (customer count) and revenue churn are often not the same, because customers do not all pay equally: losing one large customer can create high revenue churn while headcount churn is small, and vice versa. So the two must be read together to see where churn comes from. Another point is gross versus net revenue churn: the net version also counts expansion of retained customers and can go negative (revenue grows), while the gross version sees only losses and is always positive. Like all this family, revenue churn comes from the billing system; an analytics tool can show behavioral user churn, which often leads revenue churn, but does not produce the currency figure itself.