What is Churn?
The speed at which ($) donations or (#) donors are growing (or shrinking) each year. Churn looks at your acquired donors/donations and lapsed donors/donations in a particular year and calculates your net gain or loss.
How is it calculated?
We find all the donors (and their donations) who had never given in a previous year and gave in this year (acquisition). Then we find all the donors (and their donations) who left a gift in a previous year and did not give again in this year (lapsed). Then we calculate the net gain or loss by subtracting acquisition from lapsed.
What is it for?
- Monitor speed at which you are growing
- Identify campaigns that are growing more quickly then others