Glossary · Business metrics
Churn
The rate at which users stop using or paying for an app.
What is Churn?
Churn is the percentage of users (or paying subscribers) who leave over a given period. High churn undermines subscription revenue in particular.
Ad-based monetization is less exposed to churn on paid conversion, because it earns from active usage rather than retained subscriptions.
Churn in context
To understand Churn fully, it helps to know the concepts around it. Customer Lifetime Value (LTV), the total revenue expected from a user over their entire relationship with the app. ARPU, average revenue per user over a period. Paywall, a gate that requires payment to access an app or its features.
Together these describe how business metrics works in practice for an AI app, and where Churn fits among them.
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