Great comments.I have been in business for 24 years and I have learned as many have mentioned above that it is very important to understand why a customer cancelled. In addition, it is just as important if not more to keep track of how you acquired the customer in the first place. Let me explain, I as most everyone else have a limited budget for marketing and therefore you want to spend your marketing dollars on campaigns that result with the highest customer retention. A few years ago I ran three separate marketing campaigns that did boost my overall customer base. A year later I analyzed the retention of those gained customers and 2 of the 3 campaigns had approximately 90% retention and the 3rd campaign only had 40% retention. My service levels were the same for all customers so needless to say I didn't spend anymore wasted dollars on a campaign that only had 40% retention and I learned that sometimes the way you acquire a customer, regardless of service levels doesn't mean they are going to stick around for years to come. Some customers will always be in a shopping mode. New customers that were referred by another customer have always been the highest in retention. So instead of giving something away, like 50% off a service to a new customer that will only be in a shopping mode once again you may want to reward that existing customer for making a referral. Best of luck to you in the growth of your company.