Retention Offer & Save Discount ROI Calculator
Calculate the ROI of offering temporary discounts (e.g. 30% off for 3 months) to save cancelling SaaS subscribers. Free interactive model.
Calculated Results
Retention Offer ROI
800%
Preserved Gross Revenue
$810.00
Discount Cost Incurred
$90.00
About this tool
When a subscriber clicks cancel, a temporary discount, such as 25% off for the next three billing cycles, can give a price-sensitive customer a good reason to stay. Some founders worry that discounting cheapens their brand or leaves money on the table. However, the mathematics of retention offers demonstrate extraordinary return on investment: conceding $15 a month for three months ($45 total discount) to save a $50/mo subscriber who stays for another nine months preserves $555 in total revenue that would have been completely forfeited. Evaluating the return on investment of your save offers allows customer success and product teams to configure retention rules with complete financial confidence.
How It Works
- 1Input the subscriber's standard monthly subscription price (MRR).
- 2Input the proposed discount percentage (e.g. 25%).
- 3Input the duration of the discount in months (e.g. 3 months).
- 4Input the estimated additional months the customer will stay after the discount concludes (e.g. 6 months).
- 5Inspect the total discount cost, preserved gross revenue, and net ROI multiplier.
Formula & Math
Transparent LogicNet Gain = ((MRR × (1 - Discount% / 100)) × Discount Months) + (MRR × Extended Months)
Worked Practical Example
A $100/mo customer clicks cancel. You offer 30% off for 3 months ($30/mo discount). The customer accepts and remains for 6 months beyond the promo.
Calculation / Steps
Discount Cost: $30 × 3 = $90. Preserved Revenue: ($70 × 3) + ($100 × 6) = $210 + $600 = $810. Net ROI: (($810 - $90) / $90) × 100 = 800%.
Expected Result
$810 gross revenue preserved for a $90 discount investment (800% ROI).
Frequently Asked Questions
What is an ideal discount percentage for a cancellation save offer?+
Start small, for example 20% to 30% off for two or three months, and test from there.
Should save discounts be offered to every cancelling user?+
No. Save discounts should only be targeted to users whose stated churn reason is budget, pricing, or temporary financial constraint.
How does BoolBul implement retention offers securely?+
BoolBul uses cryptographically signed single-use offer tokens verified by your server, ensuring users cannot game discounts or share promo codes.
Automate retention on your cancel button
BoolBul dynamically presents reason-matched discounts to cancelling subscribers with zero gateway keys shared and instant server redemption.
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