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Sådan beregnes engagement-score (Length of Engagement Score)

Ronny Christensen avatar
Written by Ronny Christensen
Updated this week

📌 Method: LengthOfEngagement

This article explains how we calculate how long a member typically stays in the system and presents it as an engagement score.


How is engagement score calculated?

  1. Find Lost Members

    • We see how many members canceled their subscription in a given month.

  2. Churn rate calculation:

    Churn-rate=Number of members who leftNumber of members at the beginning of the month\text{Churn-rate} = \frac{\text{Number of members who left}}{\text{Number of members at the beginning of the month}}Churn-rate=Number of members at the beginning of the monthNumber of members who left

  3. Calculating the engagement score:

    Engagement-score=1Churn-rate\text{Engagement-score} = \frac{1}{\text{Churn-rate}}Engagement-score=Churn-rate1

    • A low churn rate gives a high score, which means that members stay longer.

    • A high churn rate gives a low score, which means that members leave quickly.

  4. Compare over time

    • The calculation is repeated for several months to find trends.


Example calculation

We calculate engagement scores for January and February:

Month

Number of members (start)

Terminated members

Churn-rate

Engagement-score

January

200

20

10%

10

February

210

30

14%

7.14

  1. Calculate churn rate for February:

    30210=14%\frac{30}{210} = 14\%21030=14%

  2. Calculate engagement score:

    10,14=7,14\frac{1}{0,14} = 7,140,141=7,14


Why is this important?

Engagement score helps companies understand how long an average member stays in the system.

  • A high score means strong member retention

  • A low score can indicate low satisfaction or poor retention strategies

💡 Result: A graph that shows how well the company retains members.

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