1-Question Customer Churn Quiz
A company launched last year with 100 customers, all of whom signed a 1-year contract. This year, they have added 900 new customers, all of whom signed a 1-year contract, while losing 20 of their initial 100 customers.
What is this company’s churn rate?
A. 20 / 1000 = 2%
B. 20 / 100 = 20%
C. Some other value
Here’s my 1-minute video answer: