What is the Cancelations (Subscribers) Metric?
The Cancelations (Subscribers) metric represents the total number of times a subscriber initiated a cancelation. It's important to note that initiating a cancelation marks the subscription for termination at the end of its current term, but the subscription remains active until that date. This metric provides insight into the number of subscribers who have clearly indicated their intent to leave.
This metric is available for the clients who have access to ChurnIQ. You can find it in the Cleeng Dashboard under ChurnIQ.
How is it Calculated?
The calculation is a simple count:
Cancelations (Subscribers) = Count of times a subscriber initiated a cancelation during the specified period.
This involves counting each instance where a subscriber initiated the cancelation process, regardless of whether the subscription is still active until the end of its term.
How to Use the Cancelations (Subscribers) Metric in a Subscription Business
The Cancelations (Subscribers) metric is crucial for understanding subscriber intent and potential future churn. You can use it to:
- Identify Potential Churn: Monitor the number of cancelations to identify trends and potential increases in churn.
- Evaluate Retention Efforts: Analyze the impact of retention strategies by observing changes in the number of cancelations.
- Assess Customer Satisfaction: Use cancelation data as an indicator of customer dissatisfaction or potential issues with your product or service.
- Proactively Engage Subscribers: Implement strategies to reach out to subscribers who have initiated cancelations and address their concerns.
FAQs
Why track Cancelations (Subscribers) if the subscriptions are still active?
Tracking cancelations provides an early warning sign of potential churn, allowing you to take proactive measures to retain subscribers before they completely leave.
How do Cancelations (Subscribers) differ from Churned Subscribers?
Cancelations (Subscribers) counts the number of initiated cancelations, while Churned Subscribers counts the number of subscriptions that have fully terminated. Cancelations are an intent, while Churned is the actual end.