Active Customers as % of Total Customers
SaaS
Customer Success
What is Active Customers as % of Total Customers?
The number of active customers is defined by the number of customers who have at least one active user per month. If a customer does not have at least one active user, it is very likely that the finance department will sooner or later unsubscribe since no one is making use of the software. Thus, the fraction of your customers, that is actually actively using your solution is important in validating the long-term viability of your organization.
Active Customers as % of Total Customers Formula
Active customers as % of total customers = sum(Number of active customers) / (sum(Number of total customers)) * 100
Calculation example
For example, if your business has 1,000 total customers and 600 of them are active, the calculation would be:
(6001000)×100 = 60 %
This means 60 % of your customer base is active.
Active Customers as % of Total Customers Unit
Active Customers as % of Total Customers is expressed as a percentage (%).
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More about Active Customers as % of Total Customers
Understanding the ratio of active customers to total customers is crucial for any business. This metric reveals how engaged your customer base is and can provide insights into customer loyalty, satisfaction, and overall business health. Here, we’ll explore the importance of this metric, how to calculate it, and strategies to increase the percentage of active customers.
How to visualize Active Customers as % of Total Customers?
The KPI Active Customers as % of Total Customers can be visualized as a data card, showing the current value. Or you can use bar charts to see trends and to compare your current value with previous time periods.
Active Customers as % of Total Customers visualization examples
Active Customers as % of Total Customers
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Recommendations to improve Active Customers as % of Total Customers
- Enhance Onboarding Experience: Improve your onboarding process to ensure new customers have a smooth and positive experience when getting started with your software. Provide clear instructions, tutorials, and resources to help them understand and utilize the key features and benefits of your product. Proactively engage with new customers to address any questions or concerns they may have during the onboarding phase.
- Create Loyalty and Referral Programs: Implement loyalty and referral programs to incentivize and reward active customers. Offer exclusive benefits, discounts, or additional features to customers who consistently use and advocate for your software. Encourage satisfied customers to refer your product to their network by providing referral bonuses or other incentives. This can help increase the percentage of active customers and drive organic growth.
- Monitor and Analyze Customer Usage: Implement analytics tools to track customer usage patterns and identify potential areas for improvement or increased adoption. Monitor key metrics such as feature usage, logins, and overall engagement to identify inactive customers or those underutilizing your software. Use this data to personalize outreach efforts and offer targeted solutions to drive increased usage and customer activation.
- Implement Customer Success Programs: Develop customer success programs to proactively engage with your customers and help them achieve their desired outcomes. Offer personalized support, training sessions, and regular check-ins to ensure they are maximizing the value of your software. Provide resources, best practices, and case studies to inspire and guide customers in achieving their goals.
- Continuously Improve Product and Support: Regularly collect feedback from your customers through surveys, feedback forms, or customer success interactions. Actively listen to their suggestions and pain points, and make improvements to your product and support based on their insights. By providing a high-quality product and excellent support, you can increase customer satisfaction and retention, leading to a higher percentage of active customers.
