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Calculator

Churn-tax calculator

Every signup who starts a custom-domain setup and does not finish it is a user you already paid to service. Some of them leave. Enter your numbers to see what that costs, in dollars, per quarter.

Your numbers

Move the sliders. The numbers on the right update as you go.

This is an assumption, not a measurement. Set it from your own cancellation data if you have it. Not everyone who abandons setup leaves right away, this is the share who do, within 30 days.

Lost revenue per quarter

$4,116

$16,464 per year at the current settings.

Lost customers / month
28
Lost MRR
$1,372

Revenue kept vs. churn tax, per month

Kept
$6,370
Churn tax
$1,372

Methodology

How this is calculated

The formula is one line, on purpose:

signups × (1 − completion rate) × churn assumption × revenue per customer

Signups is the monthly count of people who start the custom-domain step, not your total signups.

1 − completion rate is the share who start that step and do not finish it.

Churn assumption is the share of those non-completers you expect to cancel within 30 days, because the product they wanted was not the product they got.

Revenue per customer is monthly recurring revenue per account, before the loss.

Multiply those four numbers and you get lost customers per month. Multiply by revenue per customer and you get lost MRR. Multiply by 3 or 12 for a quarter or a year.

This is a model, not an audit. It will not match your finance team's number exactly, it is meant to be close enough to put on a slide and argue about.

The domain step is the one you can remove. Custom Domain does it in about 30 seconds.