Stukent Marketing Certification Practice Test 2026 – The Comprehensive All-in-One Guide to Exam Mastery!

Question: 1 / 400

What does churn rate refer to in marketing?

The number of new customers acquired

The percentage of customers acquired in a year

The percentage of customers who stop using a service

Churn rate is a critical metric in marketing and business analysis that specifically measures the percentage of customers who discontinue using a service during a certain timeframe. This concept is vital for businesses, particularly those with subscription models, as it directly impacts customer lifetime value and overall revenue. Understanding churn rate helps organizations identify issues in customer satisfaction, retention strategies, and service offerings. High churn rates may indicate problems that need addressing, such as quality of service or competitive pressures. By focusing on reducing churn, businesses can enhance loyalty, improve customer relationships, and ultimately drive profitability.

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The percentage of profits lost in a given period

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