Analytics

Reactivation Rate

The percentage of customers who pay at least one invoice after being saved

"Reactivation Rate" is the percentage of "Saved Customers" who paid at least one invoice after exiting your Cancel Flow.

Why It Matters

The ultimate goal is to make customers stay longer using the products and services they love. Avoiding cancellation is the first step to that goal—but the real impact to your business comes when they generate more revenue after a Cancel Flow session.

Every paid invoice after avoiding a cancellation means that the Customer's Lifetime Value (LTV) is increasing. The Reactivation Rate helps you understand how effective your Cancel Flows are at increasing your LTV.

How It Works

Churnkey will keep track of every Saved Customer. Whenever they pay their first invoice after being saved, they'll be counted as Reactivated.

Consider a customer billed on the 10th of January as an example:

  1. On January 15th, they start the Cancel Flow
  2. The customer accepts a discount of 50% for one month
  3. The Save Rate is increased
  4. On February 10th, the customer successfully pays an invoice with their 50% discount
  5. The Reactivation Rate is increased
If for any reason the customer opted to cancel their subscription before February 10th, Churnkey will be notified by your payment provider and we will not count this customer as Reactivated.

Example of Calculation

Consider a company with the following statistics:

  • Total Sessions: 100
  • Save Rate: 50%
  • Customers that generated their first invoice after being saved: 20
Reactivation Rate = ( Customers that generated 1st invoice ) / ( Saved Customers )

Reactivation Rate = ( 20 ) / ( 50% * 100 )

Reactivation Rate = ( 20 ) / ( 50 ) = 40%