Customer Retention Rate Calculator
Calculates the percentage of customers retained over a specific period
Enter all fields to calculate retention rate
Frequently Asked Questions
What is customer retention rate?
Retention rate is the percentage of customers you keep over a specific period. It is calculated as ((Customers at End - New Customers) / Customers at Start) x 100. A 90% retention rate means you kept 90% of your existing customers.
What is a good retention rate?
It varies by industry. SaaS companies target 90-95%+ monthly retention. E-commerce might see 20-30% annual retention. Subscription businesses aim for 80-90% annual retention. Even small improvements in retention have outsized impact on revenue.
Why is retention more valuable than acquisition?
Acquiring a new customer costs 5-25x more than retaining an existing one. Existing customers spend more, refer others, and are more profitable over time. A 5% increase in retention can increase profits by 25-95%.
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