How valid are your customer risk ratings for predicting logo churn?
That's the purpose of this spreadsheet. Download it to answer these questions using a simple statistical test:
- Is there a relationship between your risk ratings and customer churn behavior?
- What is the accuracy of your risk rating for predicting outcomes?
- What is the likelihood that an account marked "Red" will actually churn?
No matter if your customer health indicators are subjectively generated by CSMs, calculated by your CS tech platform, or combine a bit of both, this quick calculation will mathematically verify your results. It can also serve as a benchmark for improvement.
For questions or analytical help, contact Ed Powers at ed@se-partners.com.
