In CRM, what does the term 'customer churn' refer to?

Customer churn specifically refers to the percentage of customers who discontinue their relationship with a business or stop engaging with its products or services over a given period. This metric is crucial for businesses as it directly impacts revenue and growth; higher churn rates can indicate underlying issues with customer satisfaction or product value. Tracking churn helps organizations assess how effectively they retain their customer base and informs strategies to improve loyalty and engagement. Understanding the dynamics of customer churn allows businesses to implement targeted initiatives to reduce turnover and enhance customer retention efforts.

In contrast, the other options do not pertain to customer churn: attracting new customers is about growth strategy, the total revenue from existing customers relates to sales performance, and upselling pertains to sales techniques rather than customer retention.