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What is Average Churn Amount?

It’s the average amount of MRR you lose each time a customer cancels. If 4 customers churned this month and the total Churn MRR is $400, the average churn amount is $100.

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How to Calculate It

Average Churn Amount = Total Churn MRR / Number of churn events
Example:
  • Customer A churned at $49/month
  • Customer B churned at $99/month
  • Customer C churned at $149/month
Average = ($49 + $99 + $149) / 3 = $99

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Why It’s Useful

It tells you the size of customers you’re losing. If your average churn amount is high, you’re losing bigger customers — which hurts more. If it’s low, you’re losing smaller accounts. Bigdelta calculates this automatically from your Churn MRR events.