RedChurn

MRR impact of 1% churn

Founders debate features while billing failures silently inflate churn. Here is the math when you recover even 1% more MRR from failed payments.

Quick formula

Monthly savings ≈ current MRR × churn reduction (as decimal). At $25k MRR, 1 point of involuntary churn recovered is $250 per month—$3,000 per year without new acquisition spend.

Compounding effect

Recovered subscribers stay in cohort LTV models. A flat 1% monthly improvement on a growing base beats one-off promo campaigns.

Measure in RevenueCat

Split voluntary and involuntary churn before and after launching recovery. RedChurn attributes recovered revenue per flow in the dashboard.