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by devongall
4965 days ago
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In a freemium model, looking at Revenue churn on the $0 accounts would definitely give you a pretty useless metric. For some metrics it makes sense to lump the two together. But the distinction between the two is helpful for measuring a product's ability to up-sell itself to the existing customer base. If you're interested in tracking revenue growth instead of customer growth - then say you have -1% revenue churn month/month, your existing customer base is going to be paying you 1% more the next month (even though you may lose a few customers along the way). |
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