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What Is Churn Rate?

Churn Rate the percentage of customers who stop purchasing from your shop over a given period. The inverse of retention rate. High churn means you are constantly needing new customers to maintain revenue.

How Dashboardly Tracks Churn Rate

Dashboardly calculates Churn Rate from your live TikTok Shop data — pulling actual orders, fees, refunds, and returns so the number you see matches your P&L.

  • Actual order revenue — not estimated or attributed revenue
  • Refunds and returns deducted automatically
  • All platform fees included for profit-level accuracy
  • Historical trends so you spot changes before they hit profit

Frequently asked questions

What is a good Churn Rate?

E-commerce annual: 60-80%. Monthly: 5-10%. Subscription boxes: 10-15% monthly.

How do I calculate Churn Rate?

Churn Rate = (Lost Customers / Start Customers) × 100

Why is my Churn Rate different from what TikTok Shop reports?

TikTok's native reports use attributed metrics with click- and view-through windows. Dashboardly calculates Churn Rate from actual order revenue, deducting refunds and returns for a truer number that matches your real P&L.

When should I track Churn Rate?

Churn Rate is a leading indicator — check it daily if you're running ads or running pricing experiments, weekly otherwise. Dashboardly tracks Churn Rate automatically so you don't have to pull exports.

Related tools & resources

The percentage of customers who stop purchasing from your shop over a given period. The inverse of retention rate. High churn means you are constantly needing new customers to maintain revenue.
Definition

The percentage of customers who stop purchasing from your shop over a given period. The inverse of retention rate. High churn means you are constantly needing new customers to maintain revenue.

Formula

Churn Rate = (Lost Customers / Start Customers) × 100

Example Calculation

100 customers churned / 500 start customers = 20% quarterly churn

Benchmarks for TikTok Shop Sellers

E-commerce annual: 60-80%. Monthly: 5-10%. Subscription boxes: 10-15% monthly.

Why It Matters for TikTok Shop Sellers

The percentage of customers who stop purchasing from your shop over a given period. The inverse of retention rate. High churn means you are constantly needing new customers to maintain revenue.

Related Terms

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