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Calculation of Churn Rate-Zomato

Zomato calculated its customer churn rate for Q1 2020 using the formula: (Lost Customers ÷ Total Customers at Start of Period) x 100. It found that 29,12,000 customers were lost out of a total of 11,200,000 customers at the start of 2020, resulting in a churn rate of 26%, which is the percentage of customers who stopped ordering food during the quarter.

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Anubhav Jain
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579 views1 page

Calculation of Churn Rate-Zomato

Zomato calculated its customer churn rate for Q1 2020 using the formula: (Lost Customers ÷ Total Customers at Start of Period) x 100. It found that 29,12,000 customers were lost out of a total of 11,200,000 customers at the start of 2020, resulting in a churn rate of 26%, which is the percentage of customers who stopped ordering food during the quarter.

Uploaded by

Anubhav Jain
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Zomato Private Limited

(Calculation of Churn Rate)

Zomato’s Churn Rate is the percentage of its customers who stopped ordering food during Q1
of 2020.

Customer Churn Rate =


(Lost Customers ÷ Total Customers at the Start of Time Period) x 100

Lost Customers = 29,12,000


Total Customers during first half of 2020 = 11,200,000

Customer Churn Rate = (2912000 ÷ 11200000) x 100

Customer Churn Rate = (0.26) x 100

Customer Churn Rate = 26%

Source:
https://www.linkedin.com/pulse/zomato-online-food-delivery-industry-sujith-s-s/
https://www.statista.com/statistics/1118309/zomato-average-monthly-transaction-user/

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