What Is Churn Zero and How Is It Calculated?

Churn zero is a specific metric used to measure a customer who churns before they have completed one full month as a paying subscriber.

For a customer to be included in the churn zero calculation, they must meet two conditions:

1. They must be a paying subscriber. Keep in mind that a customer must have paid an invoice greater than $0 to be considered a paying subscriber.

2. They must not complete one full month as an active subscriber. The customer must terminate their subscription before the first month has been completed.

Here is an example: A customer subscribes to a plan on November 1st and pays their invoice. On November 20th, they terminate their subscription. Since they did not complete one full month as a subscriber, they would be counted as a paying subscriber AND churn for month zero.