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Why churn is the lifeblood Sri-Lanka Phone Number of SaaS?

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Why churn is the lifeblood Sri-Lanka Phone Number of SaaS?

2022 is destined to be an extraordinary year. Internet giants have heard news of layoffs one after another. The deepest impression is that they have praised them. In 2021. They will expand wildly. By 2022. Thousands of layoffs will happen. What happened? China youzan’s main business model is e-commerce saas services. Through its social e-commerce. Store management and other new retail saas software products. It helps small and medium-sized merchants on wechat. Kuaishou. Douyin and other platforms to solve the problem of opening stores and collect commissions or service fee to complete the business closed loop. In january 2022. According to media reports. China youzan started layoffs of more than 1.000 people.

 

Churn rate calculation

Mainly for product and technology research and Sri-Lanka Phone Number development positions. And “Personnel optimization” appeared in china youzan new year’s okr (performance appraisal).As the core indicator of saas: the high customer churn rate cannot support youzan to achieve profitability. The churn rate of excellent foreign saas companies is mostly lower than 10%. And the churn rate of salesforce is around 8%. The churn rate is like a ship sailing in the ocean with a loophole. If it is not repaired as soon as possible. The big ship may sink in the ocean. How can we reduce the customer churn rate? 1. Ceos focus on metrics: churn rate A boat is already in the sea.

 

 

Sri-Lanka Phone Number
Sri-Lanka Phone Number

CEOs focus on metrics: churn rate

If there is a hole in the hull. As a captain. Focus on the Sri-Lanka Phone Number hole and fix it as soon as possible. If speeding up is a bad idea – it will only make the boat sink faster. Slow down and fix it before throttling patch leaks. The same applies to the saas business model. The ceo of a saas vendor. As the captain. Should quickly focus on one of the most important metrics used to measure a successful saas business model: customer churn. Churn means that customers stop using your service completely. Churn is because customers subscribe to some functions of saas and do not actually use them in actual business. Customer churn is the number one killer of saas business.

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