marketingskills/skills/churn-prevention/references/cancel-flow-patterns.md

Cancel Flow Patterns

Detailed cancel flow patterns by business type, billing provider, and industry.

---

Cancel Flow by Business Type

B2C / Self-Serve SaaS

High volume, low touch. The flow must work without human intervention.

Flow structure:

Cancel button → Exit survey (1 question) → Dynamic offer → Confirm → Post-cancel

Characteristics:

• Fully automated, no human in the loop
• Quick — 2-3 screens maximum
• One offer + one fallback, not a menu of options
• Mobile-optimized (significant cancellations on mobile)
• Clear "continue cancelling" at every step

Typical save rate: 20-30%

Example flow for a $29/mo productivity app:

1. "What's the main reason?" → 6 options
2. Selected "Too expensive" → "Get 25% off for 3 months (save $21.75)"
3. Declined → "Or switch to our Starter plan at $12/mo"
4. Declined → "We're sorry to see you go. Your access continues until [date]."

---

B2B / Team Plans

Lower volume, higher stakes. Personal outreach is worth the cost.

Flow structure:

Cancel button → Exit survey → Offer (or route to CS) → Confirm → Post-cancel

Characteristics:

• Route accounts above MRR threshold to customer success
• Show team impact ("Your 8 team members will lose access")
• Offer admin-to-admin call for enterprise accounts
• Longer consideration — allow "schedule a call" as a save option
• Require admin/owner role to cancel (not any team member)

Typical save rate: 30-45% (higher because of personal touch)

MRR-based routing:

Account MRR	Cancel Flow
<$100/mo	Automated flow with offers
$100-$500/mo	Automated + flag for CS follow-up
$500-$2,000/mo	Route to CS before cancel completes
$2,000+/mo	Block self-serve cancel, require CS call

---

Freemium / Free-to-Paid

Users cancelling paid to return to free tier. Different psychology — they're not leaving, they're downgrading.

Flow structure:

Cancel button → "Switch to Free?" prompt → Exit survey (if still cancelling) → Offer → Confirm

Characteristics:

• Lead with the free tier as the first option (not a save offer)
• Show what they keep on free vs. what they lose
• The "save" is keeping them on free, not losing them entirely
• Track free-tier users for future re-upgrade campaigns

---

Cancel Flow by Billing Interval

Monthly Subscribers

• More price-sensitive, shorter commitment
• Discount offers work well (20-30% for 2-3 months)
• Pause is effective (1-2 months)
• Suggest annual plan at a discount as an alternative

Offer priority:

1. Discount (if reason = price)
2. Pause (if reason = not using / temporary)
3. Annual plan switch (if engaged but price-sensitive)

Annual Subscribers

• Higher commitment, often cancelling for stronger reasons
• Prorate refund expectations matter
• Longer save window (they've already paid)
• Personal outreach more justified (higher LTV at stake)

Offer priority:

1. Pause remainder of term (if temporary)
2. Plan adjustment + credit for next renewal
3. Personal outreach from CS
4. Partial refund + downgrade (better than full refund + cancel)

Refund handling:

• Offer prorated refund if significant time remaining
• "Pause until renewal" if less than 3 months left
• Be generous — bad refund experiences create vocal detractors

---

Save Offer Patterns

The Discount Ladder

Don't lead with your biggest discount. Escalate:

Cancel click → 15% off → Still cancelling → 25% off → Still cancelling → Let them go

Rules:

• Maximum 2 discount offers per cancel session
• Never exceed 30% (higher trains cancel-for-discount behavior)
• Time-limit discounts (2-3 months, then full price resumes)
• Track discount accepters — if they cancel again at full price, don't re-offer

The Pause Playbook

Pause is often better than a discount because it doesn't devalue your product.

Implementation:

Setting	Recommendation
Pause duration options	1 month, 2 months, 3 months
Default selection	1 month (shortest)
Maximum pause	3 months (longer pauses rarely return)
During pause	Keep data, remove access
Reactivation	Auto-reactivate with 7-day advance email
Repeat pauses	Allow 1 pause per 12-month period

Pause reactivation sequence:

• Day -7: "Your pause ends in 7 days. We've been busy — here's what's new."
• Day -1: "Welcome back tomorrow! Here's what's waiting for you."
• Day 0: "You're back! Here's a quick tour of what's new."

The Downgrade Path

For multi-plan products, downgrade is the strongest save:

┌─────────────────────────────────────────┐
│  Before you go, what about right-sizing │
│  your plan?                             │
│                                         │
│  Current: Pro ($49/mo)                  │
│                                         │
│  ┌─────────────────────────────────┐    │
│  │ Switch to Starter ($19/mo)      │    │
│  │                                 │    │
│  │ ✓ Keep: Projects, integrations  │    │
│  │ ✗ Lose: Advanced analytics,     │    │
│  │         team features           │    │
│  │                                 │    │
│  │ [Switch to Starter]             │    │
│  └─────────────────────────────────┘    │
│                                         │
│  [No thanks, continue cancelling]       │
└─────────────────────────────────────────┘

Downgrade best practices:

• Show exactly what they keep and what they lose
• Use checkmarks and X marks for scanability
• Preserve their data even on the lower plan
• If they downgrade, don't show upgrade prompts for at least 30 days

The Competitor Switch Handler

When the cancel reason is "switching to competitor":

1. Ask which competitor (optional, don't force it)
2. Show a comparison if you have one (see competitors skill)
3. Offer a migration credit ("We'll match their price for 3 months")
4. Request a feedback call ("15 minutes to understand what we're missing")

This data is gold for product and marketing teams.

---

Post-Cancel Experience

What happens after cancel matters for:

• Win-back potential
• Word of mouth
• Review sentiment

Confirmation Page

Your subscription has been cancelled.

What happens next:
• Your access continues until [billing period end date]
• Your data will be preserved for 90 days
• You can reactivate anytime from your account settings

[Reactivate My Account]

We'd love to have you back. We'll keep improving based on feedback
from customers like you.

Post-Cancel Sequence

Timing	Action
Immediately	Confirmation email with access end date
Day 1	(Nothing — don't be desperate)
Day 7	NPS/satisfaction survey about overall experience
Day 30	"What's new" email with recent improvements
Day 60	Address their specific cancel reason if resolved
Day 90	Final win-back with special offer

For detailed win-back email sequences: See the emails skill.

---

Segmentation Rules

The most effective cancel flows use segmentation to show different offers to different customers.

Segmentation Dimensions

Dimension	Why It Matters
Plan / MRR	Higher-value customers get personal outreach
Tenure	Long-term customers get more generous offers
Usage level	High-usage customers get different messaging than dormant ones
Billing interval	Monthly vs. annual need different approaches
Previous saves	Don't re-offer the same discount to a repeat canceller
Cancel reason	Drives which offer to show (core mapping)

Segment-Specific Flows

New customer (< 30 days):

• They haven't activated. The save is onboarding, not discounts.
• Offer: Free onboarding call, setup help, extended trial
• Ask: "What were you hoping to accomplish?" (learn what's missing)

Engaged customer cancelling on price:

• They love the product but can't justify the cost.
• Offer: Discount, annual plan switch, downgrade
• High save potential

Dormant customer (no login 30+ days):

• They forgot about you. A discount won't bring them back.
• Offer: Pause subscription, "what changed?" conversation
• Low save potential — focus on learning why

Power user switching to competitor:

• They're actively choosing something else.
• Offer: Competitive match, feedback call, roadmap preview
• Medium save potential — depends on reason

---

Implementation Checklist

Phase 1: Foundation (Week 1)

• Add cancel flow (survey + 1 offer + confirmation)
• Set up exit survey with 5-7 reason categories
• Map one offer per reason (simple 1:1 mapping)
• Track cancel reasons and save rate in analytics
• Enable pre-dunning card expiry emails

Phase 2: Optimization (Weeks 2-4)

• Add fallback offers (primary + secondary per reason)
• Implement pause subscription option
• Set up dunning email sequence (4 emails over 10 days)
• Enable smart retries (Stripe Smart Retries or equivalent)
• Add MRR-based routing for high-value accounts

Phase 3: Advanced (Month 2+)

• Build health score from usage signals
• Set up proactive intervention triggers
• A/B test discount amounts and offer types
• Segment flows by plan, tenure, and usage
• Post-cancel win-back sequence (coordinate with emails skill)
• Cohort analysis: churn by channel, plan, tenure

---

Compliance Notes

FTC Click-to-Cancel Rule (US)

• Cancellation must be as easy as signup
• Cannot require a phone call to cancel if signup was online
• Cannot add excessive steps to discourage cancellation
• Save offers are allowed but "continue cancelling" must be clear

GDPR / Data Retention (EU)

• Inform users about data retention period post-cancel
• Offer data export before account deletion
• Honor deletion requests within 30 days
• Don't use post-cancel data for marketing without consent

General Best Practices

• Always show a clear path to complete cancellation
• Never hide the cancel button (dark pattern)
• Process cancellation even if save flow has errors
• Confirm cancellation with email receipt