Magazines aggressively encourage subscribers to renew their subscriptions. Sometimes they send incentives to renew for one or more years just a few months after the original subscription begins. That's because a high percentage of subscribers do not renew their subscriptions once they expire, meaning this type of product/service has high _____.

Question

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Customer churn refers to the percentage of customers who do not renew their subscriptions or discontinue their relationship with a company. The fact that magazines aggressively try to renew subscriptions is an indication that customer churn is high for this product/service. This is also supported by the statement that a high percentage of subscribers do not renew their subscriptions once they expire.

Magazines Aggressively Encourage Subscribers to Renew Their Subscriptions