What is Customer Churn?
When customers stop doing business with you, often silently and without explanation.
Customer churn (also called attrition) is the rate at which customers stop returning to your business. For local businesses, churn is often invisible — customers simply stop showing up without announcing they're leaving. Churn rate is calculated as customers lost during a period divided by customers at the start of that period. Reducing churn is typically 5-25x cheaper than acquiring new customers.
Why Customer Churn Matters for Local Businesses
Most local businesses focus on acquisition and ignore retention. But a customer who visited 3 times and stops coming back represents lost lifetime value of thousands of dollars. Worse, churned customers often leave negative reviews or tell friends about bad experiences. Catching dissatisfaction early — before it becomes churn — is the highest-ROI investment a local business can make.
Intercept unhappy customers before they churn
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