What is Logo Churn?

Logo churn is the share of paying customer accounts that cancel or don’t renew in a period, counted by account rather than by revenue, so a small account leaving counts the same as your largest one.

At a glance

• Also called customer churn rate. “Logo” is the customer’s company, as in the logo wall on a website.
• Formula: customers lost in the period ÷ customers at the start of the period.
• Count paying customers only. ChartMogul excludes free trials and free plans.
• It’s a different number from revenue churn, which weights each loss by what the customer paid.
• Track it next to revenue churn and net revenue retention, never alone.

How to calculate logo churn

Take the customers you had at the start of the period, count how many of them left by the end, and divide. ChartMogul’s version also removes two edge cases so they don’t skew the result: customers who joined and churned inside the same period, and customers who churned and came back.

Example (illustrative): you start the quarter with 200 paying customers and 10 of them cancel or let their contract lapse. Logo churn for the quarter is 10 ÷ 200, or 5%. If two of those 10 signed up during the quarter, ChartMogul’s method takes them out and gives 8 ÷ 200, or 4%.

Why logo churn and revenue churn disagree

The two numbers split whenever churned customers aren’t your average size. ChartMogul’s own example uses three customers paying $20, $30 and $50 a month. If the $50 customer leaves, logo churn is 33% but revenue churn is 50%.

The reverse happens too. A company that loses many small accounts can show high logo churn while its net revenue retention holds up, because larger customers are paying more. That’s why logo churn reads best as a signal about fit and onboarding, while revenue churn tells you what the losses cost.

Logo churn benchmarks

ChartMogul’s benchmark data shows how closely the two retention views travel together: companies with NRR of 100% or more had a median monthly customer churn of 1.7%, against 7.3% for companies with NRR under 60%. Its December 2025 analysis of 3,500 software companies also found price matters: products above $250 a month retained like classic B2B SaaS, while products under $50 a month retained more than 20 points worse.

Common logo churn mistakes

• Counting only explicit cancellations. A contract that quietly isn’t renewed is a lost logo too. Leaving non-renewals out makes the number look better than it is.
• Calling a downgrade churn. A customer who cuts their contract in half is still a logo. That loss belongs in contraction and revenue churn.
• Including trials and free plans. They inflate the starting count and make paid churn look lower.
• Reading one blended rate. Split it by segment, acquisition channel and signup cohort. A spike in one cohort usually points back to how those accounts were sold or onboarded.
• Finding out at renewal. By the time an account shows as churned, the decision was made earlier. A customer health score built on usage and support data gives you time to act.

How logo churn shows up in a revenue system

Most lost logos trace back to the first months: a slow handoff, onboarding that stalls, or accounts that never fit the ICP. At AtoB, we run the customer-facing side alongside sales: support, collections, onboarding and QA. Read how the AtoB customer team runs.

Terms that sit next to logo churn

Logo churn is the account view of churn rate. Its revenue counterparts are churned MRR, gross revenue retention and net revenue retention, and time to value is one of the earliest predictors of which accounts will leave.