Gross & Net Revenue Churn Calculator
Calculate gross revenue churn percentage and annualized lost MRR. Free interactive SaaS calculator for subscription founders and finance teams.
Calculated Results
Gross Revenue Churn
4.4%
Total Monthly Lost MRR
$1,100
Annualized Lost Revenue
$13,200
Gross Revenue Churn (%) = ((Churned MRR + Contraction MRR) / Starting MRR) ร 100About this tool
Revenue churn quantifies the actual recurring dollar volume lost through subscription cancellations and plan downgrades. While logo churn treats every customer account identically, revenue churn weights attrition by contract size, revealing the true financial damage of customer exits. In tiered pricing models, losing one high-tier enterprise customer can obliterate months of hard-won SMB sales gains, even if overall account counts appear stable. Gross revenue churn reflects the raw monthly recurring revenue (MRR) that left your business, disregarding expansion from surviving accounts. Analyzing revenue churn alongside contraction allows product and customer success teams to pinpoint whether churn stems from price sensitivity, seat reductions, or outright abandonment. Regular monitoring prevents surprise runway contractions and ensures your pricing structure preserves high-value accounts.
How It Works
- 1Enter your starting Monthly Recurring Revenue (MRR) at the beginning of the evaluation period.
- 2Input the total MRR lost strictly from complete cancellations (cancellation churn).
- 3Enter any MRR lost due to tier downgrades or seat removals (contraction MRR).
- 4Inspect your gross revenue churn rate and projected annualized recurring revenue loss.
Formula & Math
Transparent LogicGross Revenue Churn (%) = ((Churned MRR + Contraction MRR) / Starting MRR) ร 100
Worked Practical Example
A B2B analytics platform starts October with $50,000 in MRR. During October, two accounts cancel ($1,200 total) and three downgrade ($600 total).
Calculation / Steps
(($1,200 + $600) / $50,000) ร 100 = 3.60%
Expected Result
3.60% gross monthly revenue churn; $1,800 monthly recurring revenue lost ($21,600 annualized).
Frequently Asked Questions
What is the difference between gross revenue churn and net revenue churn?+
Gross revenue churn only looks at lost dollars (cancellations + contractions). Net revenue churn offsets those losses against expansion and upgrade revenue from remaining customers.
Can gross revenue churn be negative?+
No. Gross revenue churn only tallies losses, so it cannot drop below 0%. Net revenue churn, however, can be negative if expansion revenue exceeds total losses.
What is an ideal revenue churn target for B2B SaaS?+
Set the target from your own history. Calculate revenue churn for each of the last six months, take the median and aim to beat it next quarter. If revenue churn is higher than customer churn, your larger accounts are the ones leaving, and that deserves attention first.
Automate retention on your cancel button
BoolBul preserves MRR by offering tier downgrades and limited-time billing discounts when customers attempt to cancel expensive plans.
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