Source: https://www.revvly.ai/glossary/revenue-churn

[Glossary](https://www.revvly.ai/glossary)

# Revenue churn

**Revenue churn is the percentage of recurring revenue lost in a period from cancellations and downgrades. Weighting by money rather than by account shows what the losses actually cost. Gross revenue churn counts only losses, while net revenue churn also subtracts expansion and can turn negative.**

## Formula

`Gross revenue churn = (churned MRR + contraction MRR) ÷ starting MRR`

## How to read it

Negative net revenue churn means expansion from the remaining customers outweighs everything lost, the same condition as NRR above 100 percent. Keep the gross figure visible, because net churn can look healthy while a large share of customers is leaving.

## In Revvly

- [Docs: reference metrics](https://www.revvly.ai/docs/reference/metrics)

## Further reading

- [Logo churn vs. revenue churn: why SaaS teams need to track both.](https://www.revvly.ai/blog/logo-churn-vs-revenue-churn)
- [Why your churn rate lies, and what to track instead.](https://www.revvly.ai/blog/churn-rate-lies)

## Related terms

- [Logo churn](https://www.revvly.ai/glossary/logo-churn)
- [Net revenue retention (NRR)](https://www.revvly.ai/glossary/nrr)
- [Gross revenue retention (GRR)](https://www.revvly.ai/glossary/grr)

Revvly

Orchestrate the flow of revenue.

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