Customer Health Score
A composite metric predicting customer retention risk based on usage patterns, engagement, and other behavioral signals.
Definition
Customer health scores aggregate multiple signals—product usage, support tickets, engagement with communications, payment history, feature adoption—into a single metric predicting retention likelihood.
Unlike NPS which measures sentiment at a point in time, health scores continuously monitor behavior. Declining scores trigger proactive intervention before customers decide to leave.
Why It Matters
Health scores enable proactive rather than reactive customer success. By the time a customer says they're leaving, it's often too late. Behavioral signals provide early warning.
Scoring also prioritizes customer success resources. With hundreds or thousands of accounts, teams need data-driven ways to focus attention on at-risk relationships.
Examples in Practice
A SaaS company's health score weighs: daily active users (40%), feature adoption (25%), support sentiment (20%), and billing status (15%). Accounts scoring below 60 get intervention calls.
Health score analysis reveals that customers who don't complete onboarding in 14 days have 3x higher churn—triggering automated nudges for slow starters.