Glossary > Customer Retention Rate (CRR)

Customer Retention Rate (CRR)

Customer Retention Rate (CRR) is a measure of how well a business can retain current customers. It is calculated by dividing the number of customers who have remained with a company for a period of time by the total number of customers at the beginning of that time period.

The Customer Retention Rate (CRR) formula is:

CRR = (Number of Customers at End of Period – Number of New Customers Acquired During Period)/(Total Number of Customers at Beginning of Period)

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