Churn
Senior SEO-specialist
Every business has to deal with customers dropping out or members canceling. This is not good news for churn. What is churn and in what ways can it be improved? On this page you can read more about this and we also explain the impact of churn on SEO.
What is churn?
Churn is an expression for customers who drop out or cancel their membership or subscription. The churn rate says something about a company’s ability to retain customers. In addition, it is also an indication of customer (dis)satisfaction.
The importance of churn rate
Finding out the churn rate is important for several reasons. First, it is a convenient measurement for the ROI (return on investment) of marketing activities. Second, it is a factor in the overall value generated by customers.
A customer leaving means loss of revenue, but also loss of return on investment. New sales are therefore needed to compensate. With the churn rate, you also have a tool for discovering opportunities for growth.
The impact of churn on SEO
Churn impacts the SEO of a website or page, but rather a company’s sales and profits. When the churn rate is low, it often means lower sales. In addition, it may also mean higher levels of customer dissatisfaction. On the other hand, a good churn rate also provides opportunities in the potential for growth.
My advice
The analysis of a churn rate provides an opportunity to take action. With this, you have the opportunity to improve customer satisfaction. One way to do this is with a loyalty program, activities through which you offer and encourage customers to make new purchases.
We recommend that you calculate the churn rate and keep an eye on it, so that you as a company make use of this in the future in a good way, namely for retaining customers and increasing satisfaction.
Frequently Asked Questions
What is Churn?
Churn is a name used for customers dropping out or customers terminating their subscriptions, for example. The churn rate tells you to what extent a company is able to retain their customers and how satisfied or not they are.
What is the impact of Churn on SEO?
Churn certainly affects a site’s SEO but even more so affects revenue. A low churn rate usually means low sales and vice versa. But so it also says something about how satisfied customers are. Satisfied customers, in turn, ultimately drive more traffic to a website.
