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Commerce Glossary
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What is Voluntary Churn?
vol - un - tar - y churn
noun
Happens when a customer decides to end the relationship and stops using a product or service, downgrades from a paid version, or switches to a lower-paid version. Preventing voluntary churn requires the right combination of product engagement, customer experience, and perceived value. If customers don’t use your product often, or don’t have a good experience when they do, or don’t see value in your product, they won’t stick with you. This holds true whether you’re talking about free trial users considering a paid upgrade or paying customers deciding whether to renew.
Targeting the right customers to start with, analyzing user engagement and behavior, constantly optimizing your product, and communicating with your clients in an optimal way are solid tactics to prevent churn.
Regardless, some customers will still want to churn, and additional churn prevention tools can be employed to curb churn even further. Voluntary churn prevention tools include discounts during the churn process to entice price-sensitive subscribers to stay.
Specifically, for subscriptions, offering customers the option to pause their subscriptions instead of canceling is another good tactic to prevent voluntary churn. Extending the subscription duration or asking subscribers to (re-)enable automatic renewal also reduces the chance of them churning. Allow subscribers to downgrade to less expensive plans that are not as rich in functionality is another way to prevent voluntary churn.
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