Logo Retention Rate

What is Logo Retention Rate?

Logo Retention Rate (also called Customer Retention Rate) measures the percentage of customer accounts—or "logos"—that you retain over a specific time period, regardless of the revenue value associated with each account.

Unlike revenue retention metrics, logo retention treats every customer equally, whether they pay $100/month or $100,000/month.

How to Calculate Logo Retention Rate

Logo Retention Formula:

Logo Retention (%) = [(Customers at End of Period - New Customers) ÷ Customers at Start of Period] × 100

Or simply:

Logo Retention (%) = [Retained Customers ÷ Starting Customers] × 100

Example:

Starting customers: 1,000
Churned customers: 80
Retained: 920

Logo Retention = 920 ÷ 1,000 × 100 = 92%

Logo Retention vs. Revenue Retention

Logo RetentionRevenue Retention
Counts customers equallyWeights by revenue
Shows breadth of retentionShows financial impact
Reveals SMB/long-tail healthCan mask small customer churn

Why Track Both?

High revenue retention with low logo retention could mean:

  • You're losing many small customers but keeping big ones
  • Your product may have issues for certain segments
  • Your growth relies too heavily on enterprise accounts

Tracking both metrics reveals the complete retention picture.

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