# Customer Success for B2C
## KPI dashboard
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All the metrics show in this dashboard are updated daily and are calculated based on a 30 days running period. Meaning that you look at a period between today and 30 days ago.
Next to each of the metrics you will always find two comparisons:
* *vs last month*: this is the percentage variation in the current value in comparison to last month. In practice, it is calculated as the comparison between the value of the last 30 days versus the value of the 30 days that preceded it.
* *vs last year:* this is the percentage variation in the value of the last 365 compared to the value of the 365 days that preceded that period.
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**Example:**
In the snapshot below, the current number of *churners* is 29. This figure reflects the number of customers which have ended their subscription/contract during the last 30 days. One can also observe that the change in the number of churners relative to last month is +0.4% and that the change relative to last year is -5.8%. This shows a scenario where the number of *churners* has recently increased in the last month, but overall it is still decreasing relative to one year ago.
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#### **Active customers**
*The current number of customers with an active subscription.*\
\&#xNAN;*How many customer are active at this moment.*
The number of *"active customers".* This is the latest number of active customers registered in your system. A customer is counted as an active customer whenever they have at least one contract that is currently active.
#### **Churners**
*The number of customers that have churned in the last 30 days.*\
\&#xNAN;*How many customers have left you recently.*
*"Churners"* is defined as the number of customers that have churned in the last 30 days. A customer has churned whenever they have canceled or ended an active contract, have no other active contract and do not have a new contract starting within one week after their latest contract has ended.
#### **Churn rate**
*The percentage of customers that have churned in the last 30 days.*\
\&#xNAN;*How much churn are you experiencing.*
The *"churn rate"* indicates the percentage of customers which have churned in the last 30 day. This number is calculated relative to the number of currently active customers. A high-churn rate indicates a substantial number of customers canceling their subscriptions/contracts among the currently active customers.
Specifically, the churn rate is calculated as follows:
$$
churn \ rate\_t \ = \ \dfrac{ {churners} \_t } {active \ customers\_t \ + \ churners\_t}
$$
####
#### **ARR**
*The current annual recurring revenue (ARR).*\
\&#xNAN;*How much yearly revenue can you expect based on current subscriptions/contracts.*
The *annual recurring revenue* (ARR) is a simple but essential business metric which indicates how much recurring revenue you can expect, based on currently active subscriptions/contracts. ARR is also the annualized version of *monthly recurring revenue* (MRR) representing revenue in the calendar year.
#### **Churn loss**
*The total loss in yearly revenue due to customers that have churned in the last 30 days.*\
\&#xNAN;*How much churn has cost you recently.*
The churn loss indicates the annual revenue that has been lost due to the customers that have churned during the last 30 days. This is calculated by the simple formula:
$$
churn \ loss\_t = \sum\_{i} churner\_{i,t} \times ARR\_{i,t}
$$
#### **AI health score**
*An all-in-one measure of the health of your customers.*\
\&#xNAN;*How healthy your customer base is.*
The Churned AI health score gives you an all-in-one measure of the health of your customers. This metric includes short-run and long-run trends in customer churn risk, customer value, customer engagement, effective churn rates, and much more.
The Churned AI health score is probably one of the most powerful metrics about your business. Unlike other Customer Success tools, this health score is actually driven by state-of-the-art AI rather than being based on simplistic rule-based KPIs.
Our AI health score ranges from 1 to 10. Our score translates to *"sick"* when ranging between 1-4, *"concerning"* between 4-6, *"healthy"* when ranging between 7-8, and "excellent" for a score of 9-10.
#### **Risk levels**
*A segmentation of your customers into three risk levels.*\
\&#xNAN;*How many customers and corresponding value are in each risk group.*
The risk levels metric divides your current active customers into the Churned risk levels: *High Risk, Medium Risk* and *Low risk.* Based on their churn prediction, each customer receives one of these labels. The total value (sum of the ARR of these customers) is shown as well as the change in the value of that risk level compared to 30 days ago. Under the value the total number of customers within each risk level is revealed as well as the change in the value of that risk level compared to 30 days ago.
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Since we want as many customers in the Low Risk group, an increase compared to the previous period turns green, while an increase in the High Risk group turns red.
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## Technical dashboard
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All the metrics show in this dashboard are updated daily and are calculated based on the latest available information at the customer level. Only active customers are presented here.
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#### Top 3 risk drivers
*Explanation for the churn risk by our AI engine.*\
\&#xNAN;*The top three drivers of your customer's churn risk.*
At Churned, we go beyond predicting the churn risk for each customer. Our AI engine actually uncovers the drivers behind the predicted churn risk. This means that, for every given customer, you can see why the churn risk prediction is high or low.
The *top 3 risk drivers* reveal the following key insights:
* what are the three main *drivers* of risk for that customer,
* which drivers help decrease or increase churn risk,
* if the driver's value is low or high for that customer.
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Drivers that help reduce churn risk are always shown in **green**. These are "good" drivers.\
Drivers that increase churn risk are always shown in **red**. These are "negative" drivers.
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**Example:**
Consider a customer with *high churn risk.* Suppose that the *top 3 risk drivers* for this customer are:
1. **Low number of logins**
2. **High number of products**
3. **Low NPS score**
We can see here that the main driver behind the "high risk" prediction for this customer is the *Low number of logins*. This is colored red because the *Low number of logins* contributes to a higher churn risk*.* This is similar to the *Low NPS score* which also leads to higher churn risk. In contrast, the *High number of products* appears in green since it helps attenuate that churn risk according to our AI engine.
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#### Engagement Score
*An all-in-one indicator of the engagement level of your customer.*\
\&#xNAN;*How engaged is your customer: a unique indicator produced by our AI engine.*
The Churned *engagement score* gives you an all-in-one measure of the engagement level of each of your customers. This metric is automatically adjusted to the unique realities of your business and the distinct behavior of your customers.
The Churned *engagement score* is another powerful metric that you can use to optimize your business. Unlike other Customer Success tools, this engagement score is driven by advanced AI. It is not a rule-based indicator.
Our engagement score ranges from 1 to 10. Values ranging between 1-4 reveal low engagement relative to other customers. Values between 5-6 indicate normal levels of engagement and 7-8 are reserved for relatively high levels of engagement. An engagement score of 9-10 is excellent.
#### Engaged Customers
*The total number of engaged customers of the active customers in the selected segment.*\
\&#xNAN;*How engaged this segment is compared to the other active customer base.*
This metric is based on the [Engagement score](#engagement-score).
#### Non-Engaged Customers
*The total number of non-engaged customers of the active customers in the selected segment.*\
\&#xNAN;*How non-engaged this segment is compared to the other active customer base.*
This metric is based on the [Engagement score](#engagement-score).
#### High-Value Customers
*The total number of valuable customers of the active customers in the selected segment.*\
\&#xNAN;*How valuable this segment is compared to the other active customer base.*
The number of customers within this group that has an ARR above the median ARR of the active customer base.
#### Low-Value Customers
*The total number of less valuable customers of the active customers in the selected segment.*\
\&#xNAN;*How valuable this segment is compared to the other active customer base.*
The number of customers within this group that has an ARR below the median ARR of the active customer base.
#### Top Three Risk Drivers
*What are the biggest drivers of the churn risk.* \
\&#xNAN;*The top three drivers of your customer's churn risk for the selected segment.*
The top 3 risk drivers are calculated by counting how much each risk driver has occurred for the active customers within this group. How the risk drivers are computed is explained [here](#top-3-risk-drivers).
#### Per Risk Level
*How (un)healthy the selected segment really is.*\
\&#xNAN;*The distribution of the active customers in the selected segment over the three risk levels.*
This distribution represents how the number of active customers within the selected segment are spread over the different risk level groups.
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**Example:**
Consider the situation where you have selected 2 segments:
1. Customers in onboarding
2. Loyal customers
\
Looking at the distribution in the graph we now see that 4.8% of the total active customers in the segment *onboarding* is at 'High risk' while this percentage for loyal customers is only 0.8%
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