# Discentra Churn Cost Calculator

> A free tool that turns four numbers (active traders, monthly churn rate, cost to acquire, average revenue per trader) into the annual dollar cost of trader churn at your firm, plus the savings at three churn-reduction scenarios.

## Four numbers. Thirty seconds.

See what trader churn is really costing you.

Coaching, not financial advice.

## What the calculator does

The calculator takes four inputs and returns three outputs. Inputs:

- **How many active traders do you have?** Count of traders enrolled in your evaluation programme, funded programme, or live brokerage account in the current period.
- **What % leave per month?** Monthly churn rate. Industry average for prop firms and retail brokers sits between 8% and 12%.
- **Cost to acquire one trader ($).** All-in CAC: paid ads, affiliate fees, internal acquisition costs. Typical range is $200 to $2,000 per trader.
- **Average revenue per trader per year ($), optional.** LTV per year. Typical range is $1,200 to $3,500 for retail brokers. If you leave this blank the calculator returns replacement cost only.

## What the outputs mean

Three headline numbers appear once you fill in the required inputs:

1. **Total annual loss from churn (or per-year replacement cost if no LTV).** Dollar value of the churn problem at your current rates.
2. **Traders lost every 12 months.** Headcount equivalent, useful for board-level framing.
3. **Saved at 15% churn reduction.** Dollar value retained if you reduced your monthly churn rate by 15% (relative, not absolute).

Below the headline, three churn-reduction scenarios compare side by side:

- **8% reduction (Conservative).** Pilot success-criteria minimum.
- **15% reduction (Expected).** Pilot target.
- **25% reduction (Stretch target).** Top-end outcome from sustained behavioural intervention.

Each scenario shows total annual savings, traders retained, and (if LTV provided) the split between replacement-cost saved and revenue retained.

## How the math works

The calculator uses a compound-decay model for monthly churn, not a simple linear projection. The exact formulas:

**Annual traders lost:**

```
annual_lost = num_traders × (1 − (1 − monthly_churn / 100) ^ 12)
```

This compounds the monthly churn rate over 12 months. A 10% monthly churn rate does not equal 120% annual churn (that would be impossible). It equals about 71.8% annual churn, because each month's churn applies to the survivors of the previous month's churn.

**Traders saved by reducing churn:**

```
reduced_monthly = monthly_churn × (1 − reduction / 100)
saved = annual_lost(original) − annual_lost(reduced)
```

**Annual replacement cost:**

```
replacement_cost = annual_lost × CAC
```

**Annual lost revenue (if LTV provided):**

```
lost_revenue = annual_lost × LTV
total_annual_loss = replacement_cost + lost_revenue
```

## Why these numbers don't move on their own

Traders don't leave because of your platform. They leave because of emotional mistakes: tilt, revenge trading, overleveraging. And no one intervenes. ~75% of retail traders quit within 90 days. That number has been stable for years across firms, geographies, and platforms because the cause sits at the trader level, not the operations level.

Discentra intervenes within 5 seconds of a behavioural trigger. Coaching, not financial advice.

## Free personalised analysis

After running your numbers, you can request a personalised report. We analyse your Trustpilot reviews, categorise behavioural churn patterns specific to your firm, and send you the report. No obligation.

## What we don't do

The calculator is not a substitute for your own data. We deliberately keep the inputs to four numbers so the result is directionally honest at the level of "is this a $50K problem or a $5M problem." For an exact picture, we run the analysis on your firm's actual data during a discovery call.

We do not provide financial advice, investment recommendations, or trading signals. The calculator measures retention economics, not investment returns.

Coaching, not financial advice.

## Related links

- [How It Works](https://discentra.ai/how-it-works)
- [Get in Touch](https://discentra.ai/get-in-touch)
- [Churn Report](https://discentra.ai/churn-report)
- [Pricing](https://discentra.ai/pricing)
- [Privacy Policy](https://discentra.ai/privacy)

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This is a Markdown mirror of [https://discentra.ai/calculator](https://discentra.ai/calculator). Generated for LLM citation. © Discentra Ltd. Coaching, not financial advice.