Drop Rate refers to the percentage of users or customers who start a process but do not complete it. This metric is commonly used in e-commerce, mobile apps, customer service, and gaming to measure user disengagement or friction points in a journey.

How Drop Rate Is Calculated

$$ Drop\ Rate = \left( \frac{\text{Users Who Started the Process} - \text{Users Who Completed the Process}}{\text{Users Who Started the Process}} \right) \times 100 $$

For example, if 1,000 users start a checkout process and only 700 complete their purchase, the drop rate is:

$$ Drop\ Rate = \left( \frac{1000 - 700}{1000} \right) \times 100 = 30\% $$

So, the drop rate is 30%.

Common Use Cases

1. E-commerce Checkout Drop Rate
   • Measures how many users abandon their cart before completing payment.
   • High drop rates suggest friction in checkout (e.g., unexpected costs, complex process).
2. Mobile App & Website Drop Rate
   • In apps or websites, measures how many users leave before completing a goal (e.g., signing up, completing a form).
3. Call Center Drop Rate
   • Tracks how many customers hang up before reaching an agent.
   • Can indicate long wait times or poor service.
4. Gaming Drop Rate
   • Measures how many players abandon a game level or quit before reaching a milestone.

Why Drop Rate Matters

• Identifies bottlenecks in the user journey.
• Helps optimize conversion rates by reducing friction.
• Improves user experience by fixing drop-off points.
• Directly impacts revenue and retention in businesses.