Churn rate

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Churn rate (sometimes called attrition rate), in its broadest sense, is a measure of the number of individuals or items moving out of a collective group over a specific period. It is one of two primary factors that determine the steady-state level of customers a business will support.[clarification needed]

Derived from the butter churn, the term is used in many contexts but most widely applied in business with respect to a contractual customer base. Examples include a subscriber-based service model as used by mobile telephone networks and pay TV operators. The term is often synonymous with turnover, for example participant turnover in peer-to-peer networks. Churn rate is an input into customer lifetime value modeling, and can be part of a simulator used to measure return on marketing investment using marketing mix modeling.[1]