ROI on Reducing Attrition

ROI on Reducing Attrition

Impact of attrition reduction on net operating revenue (NOR)

Compact workspace

Fast scenario comparison view

Model Inputs

Focused baseline assumptions.

Scenario

Attrition Rate Adjustment

6.00% to 5.10%
-90 bps
Eliminate attrition6.00% to 5.10%Double attrition

Year 1 NOR Lost to Attrition

$877.2K

Annual NOR Recovered

$154.8K

Current ending NOR

$17.4M

Scenario ending NOR

$17.5M

Scenario takeaway

Reducing attrition from 6.00% to 5.10% increases net operating revenue by $154,800.

Current Revenue Path

Beginning NOR plus new revenue, minus current attrition.

Beginning NOR$17.2M
New customers+$1.2M
Attrition-$1M
Ending NOR$17.4M

Scenario Revenue Path

The same acquisition path under the adjusted attrition rate.

Beginning NOR$17.2M
New customers+$1.2M
Scenario attrition-$877.2K
Scenario ending NOR$17.5M

Quick Comparison

MetricCurrentScenario
Attrition rate6.00%5.10%
Ending customers25,25025,475
Ending deposits$505M$509.5M
Ending annual NOR$17,372,000$17,526,800