What is a "churn rate"?

[WebKitty]

I have heard this term before but never actually looked into it. While I do use email marketing, it is not something I am a complete expert on so I am not familiar with all the lingo and the terms used to describe different parts of the process. Does anyone know what this is referring to?

 

[HK World]

"Churn rate" is the annual percentage rate at which customers stop subscribing to a service, when they stop doing business with a company or when employees leave a job.

 

[opaline]

"Churn rate" is the annual percentage rate at which customers stop subscribing to a service, when they stop doing business with a company or when employees leave a job.

Yup, and it could also be the number of subscribers that have canceled their recurring payment plans to a company.

 

[saoussen5766]

"Churn rate" is the annual percentage rate at which customers stop subscribing to a service, when they stop doing business with a company or when employees leave a job.

How to avoid such kind of situation because this is something bad for the economy of the company or website or center providing services?