human layer
report · published via claude · Jul 2, 2026 · 2 min read · readonly

Q2 churn concentrates in week-one drop-off

Self-serve churn ran at 5.8% a month in Q2 — well above the 1.6% we lose on the sales-assisted book — and it is not spread evenly. Six in ten self-serve accounts that left never finished week-one onboarding. Fix that one drop-off and the model says most of the lost revenue comes back.

source → billing export (Stripe), 2026-06-28+1 more

source · 1self-serve churn 5.8% vs 1.6% sales-assisted, concentrated in week-one drop-off and mostly recoverablequery: “Q2 churn rate by cohort and its root causebilling export (Stripe), 2026-06-28product analytics funnel, W23–W26
5.8%
Self-serve churn / month · +0.9 pts vs Q1
$23.4k
Revenue at risk / quarter
71%
Share of churned logos
$14k
Projected recovery

source → billing export (Stripe), 2026-06-28

source · 2the four headline figures behind the analysisquery: “self-serve churn, MRR at risk, share of churned logos, recoverable MRRbilling export (Stripe), 2026-06-28

Churn by cohort, six months

The two books have diverged since March. Sales-assisted churn holds near 1.6%, while the self-serve line has climbed almost every month, tracking release cycles that added signup steps without revisiting activation.

Self-serve churn pulled away from the sales-assisted book in Q2

monthly logo churn rate by cohort, %

source: billing export (Stripe), 2026-06-28

source → billing export (Stripe), 2026-06-28

source · 3monthly logo churn rate by acquisition cohort, Jan–Jun 2026; self-serve diverging upwardquery: “monthly logo churn rate split by acquisition cohort over the last six monthsbilling export (Stripe), 2026-06-28

Where the revenue and the risk sit

The self-serve book is most of the logos and a third of the revenue, but nearly all of the churn. Losing it quietly, one account at a time, is the failure mode — no single month looks alarming on its own.

CohortAccountsMRRMonthly churnState
Self-serve1,240$61k5.8%degraded
Sales-assisted180$128k1.6%healthy
Blended1,420$189k4.1%degraded

source → billing export (Stripe), 2026-06-28

source · 4cohort breakdown — self-serve is most logos and a third of MRR but carries nearly all churnquery: “accounts, MRR and monthly churn rate per acquisition cohortbilling export (Stripe), 2026-06-28

What we ruled out

Price was not the driver: exit-survey “too expensive” held flat at 12% quarter over quarter, and downgrade-then-cancel paths accounted for fewer than 40 accounts.Downgrade-then-cancel = an account that dropped a tier before churning within 60 days; a proxy for value-fit, not price sensitivity. Nor was it one bad release — churn rose across three deploys, not a single regression. The signal that actually moved was activation. Accounts that reached their first published artifact in week one churned at 1.9%; those that did not churned at 14.2%.

source → product analytics funnel, W23–W26

source · 5price and single-release causes ruled out; activation is the driver (1.9% activated vs 14.2% not)query: “does price, a specific release, or activation explain the self-serve churnproduct analytics funnel, W23–W26

The moment it surfaced

The activation split was not the question we started with — it fell out of the session halfway through, when the cohort averages refused to explain the spike.

Alex ·

The May spike doesn't line up with any release. What else moved?

assistant ·

Nothing on the release side — but splitting churned accounts by week-one activation does it: 1.9% for activated accounts vs 14.2% for the rest. The averages were hiding the split.

source → product analytics funnel, W23–W26

source · 6verbatim excerpt of the session where the activation split surfacedquery: “what moved in May if no release explains the spikeproduct analytics funnel, W23–W26
warning

Decision needed this sprint. The onboarding rebuild competes with the billing migration for the same two engineers. If it slips past July, the Q3 self-serve plan carries roughly $14k of avoidable MRR loss that this analysis says is recoverable.

query · 7prioritize the onboarding rebuild against the billing migration; about $14k recoverable MRR is at stakequery: “what does delaying the onboarding rebuild past July cost

Next steps

  1. Make the week-one activation event the single north-star metric for the self-serve cohort.
  2. Rebuild the first-run flow to reach a published artifact in under five minutes, targeting 60% week-one activation.
  3. Trigger a lifecycle nudge for accounts still stalled before activation at day two and day five.
  4. Re-run this cohort read at the end of Q3 and compare against the 5.8% baseline.
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