University of Houston expert on feeling the churn of customers and what to learn from it

Houston voices

Customer churn is inevitable, but it's what you do with the opportunity that matters. Miguel Tovar/University of Houston

Think of customer churn as a robust balloon, ready to touch the sky as soon as you let go. Every day you hold on to that balloon, air molecules will diffuse through the knot. Your balloon will become flabby. This exodus of air is known in business as a churn. Customer churn is the amount of customers that your company loses during a specific time frame. Canceled subscribers, dissatisfied clientele, or customers that just found a better alternative. Keeping track of churn is a vital part of your company's continued growth. Doing so will give you the brutal truth regarding customer retention.

It's difficult to measure the success of your startup without keeping track and analyzing your shortcomings as well. Sure, you want 100 percent customer retention. But even a company that has figured out how to stop the aging process will not have such an unrealistic rate. Losing customers is part of the game. However, you don't have to let it kill your company. You can learn from it.

Measuring customer churn rate

You can measure your churn rate by subtracting lost patronage from the number of customers you had to start a period. So, if you started off the month or quarter with 1,000 customers, and end up with 500 at the end of that period, your churn rate is 50 percent. You lost 50 percent of your customers. Ouch. Unless your company decides to go into selling raincoats in the Sahara, it is doubtful your churn rate will be that high. But you understand how it's calculated now.

So, why is customer churn so important? Well, for starters, the cost of acquiring new customers is 25 times higher than the cost of retaining the ones you already have. Further, research has determined that a mere five percent rise in retention rates can boost profits upwards of 25 percent.

Curb your churn

There are a few ways to curb customer churn.

One way is to concentrate on your most loyal customers. One of the biggest gripes against Comcast is that they offer so many special rates to new customers, and almost nothing for their long-time customers. The same was said about Uber until they recently launched Uber Gold. How many "special deals for first time customers" do you see with phone service companies? Tons. It would be more advantageous to focus your resources on your loyal customers. Give them another reason to stay. After all, as we just covered, it's cheaper for your company to retain them than to get new customers.

Another way to reduce churn rates is to track and analyze it every fiscal quarter. This analysis can help you understand why exactly customers are leaving. You can even detect patterns to show at what point in their patronage they are leaving. All this data can be used to make better decisions about improving your company's services or products.

Listen to fleeing customers

Speaking of making better decisions for your company, the best way to do that is to talk to the customer. When you were in high school, you probably had "intel" on your crushes to see if they liked you back. You probably spent months agonizing over what they meant by this text or that comment. In retrospect, you probably now know it would have been so much easier to just ask. Letting the customer be your compass will steer your company in the right direction. Lapsed customers will almost always be honest with you. What have they got to lose? They will tell you straight up what they didn't like and why they didn't like it. With a large enough sample size, you'll soon have a good idea about what you could be doing better to keep your current customers from fleeing your company like it's Blockbuster. No offense to Blockbuster.

In summary, keeping the customers you have is just as important as winning over new ones. It's harder to put air into an already knotted balloon than it is to just keep the air it already has inside. If you focus on keeping your customers, much like that air-filled balloon, sky's the limit.

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This article originally appeared on the University of Houston's The Big Idea.

Rene Cantu is the writer and editor at UH Division of Research.

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How Houston innovators played a role in the historic Artemis II splashdown

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Research from Rice University played a critical role in the safe return of U.S. astronauts aboard NASA’s Artemis II mission this month.

Rice mechanical engineer Tayfun E. Tezduyar and longtime collaborator Kenji Takizawa developed a key computational parachute fluid-structure interaction (FSI) analysis system that proved vital in NASA’s Orion capsule’s descent into the Pacific Ocean. The FSI system, originally developed in 2013 alongside NASA Johnson Space Center, was critical in Orion’s three-parachute design, which slowed the capsule as it returned to Earth, according to Rice.

The model helped ensure that the parachute design was large enough to slow the capsule for a safe landing while also being stable enough to prevent the capsule from oscillating as it descended.

“You cannot separate the aerodynamics from the structural dynamics,” Tezduyar said in a news release. “They influence each other continuously and even more so for large spacecraft parachutes, so the analysis must capture that interaction in a robustly coupled way.”

The end result was a final parachute system, refined through NASA drop tests and Rice’s computational FSI analysis, that eliminated fluctuations and produced a stable descent profile.

Apart from the dynamic challenges in design, modeling Orion’s parachutes also required solving complex equations that considered airflow and fabric deformation and accounted for features like ringsail canopy construction and aerodynamic interactions among multiple parachutes in a cluster.

“Essentially, my entire group was dedicated to that work, because I considered it a national priority,” Tezduyar added in the release. “Kenji and I were personally involved in every computer simulation. Some of the best graduate students and research associates I met in my career worked on the project, creating unique, first-of-its-kind parachute computer simulations, one after the other.”

Current Intuitive Machines engineer Mario Romero also worked on Orion during his time at NASA. From 2018 to 2021, Romero was a member of the Orion Crew Capsule Recovery Team, which focused on creating likely scenarios that crewmembers could encounter in Orion.

The team trained in NASA’s 6.2-million-gallon pool, using wave machines to replicate a range of sea conditions. They also simulated worst-case scenarios by cutting the lights, blasting high-powered fans and tipping a mock capsule to mimic distress situations. In some drills, mock crew members were treated as “injured,” requiring the team to practice safe, controlled egress procedures.

“It’s hard to find the appropriate descriptors that can fully encapsulate the feeling of getting to witness all the work we, and everyone else, did being put into action,” Romero tells InnovationMap. “I loved seeing the reactions of everyone, but especially of the Houston communities—that brought me a real sense of gratitude and joy.”

Intuitive Machines was also selected to support the Artemis II mission using its Space Data Network and ground station infrastructure. The company monitored radio signals sent from the Orion spacecraft and used Doppler measurements to help determine the spacecraft's precise position and speed.

Tim Crain, Chief Technology Officer at Intuitive Machines, wrote about the experience last week.

"I specialized in orbital mechanics and deep space navigation in graduate school,” Crain shared. “But seeing the theory behind tracking spacecraft come to life as they thread through planetary gravity fields on ultra-precise trajectories still seems like magic."

Rice Alliance names first head of platform & more innovation headlines

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Editor's note: The top April innovation headlines to know include Rice Alliance's newly minted head of platform and FDA approval for a local medtech startup. Below are the five most-read InnovationMap stories from April 1-15, 2026:

1. Rice Alliance names Houston healthtech exec as first head of platform

The Rice Alliance for Technology and Entrepreneurship has named its first head of platform. Houston entrepreneur Laura Neder stepped into the newly created role last month, according to an email from Rice Alliance. Neder will focus on building and growing Houston’s Venture Advantage Platform. The emerging platform, which is being promoted by Rice Alliance and the Ion, aims to connect founders with the "people, capital and expertise they need to scale." Continue reading.

2. Houston medtech startup clears FDA approval for new surgical tool

Prana Surgical has developed a minimally invasive, image-guided, single-use tissue extraction tool. Photo via LinkedIn

Houston-based Prana Surgical will soon bring a new electrosurgical tool to operating rooms around the country. The Prana System officially cleared U.S. Food and Drug Administration (FDA) approval earlier this month. Prana Surgical began as Prana Thoracic in 2022. Back then, the company primarily focused on developing screening tools for lung cancer diagnosis. It raised $6 million in series A funding rounds in 2023 and 2024 before transitioning to broader surgical needs in 2025. Continue reading.

3. Houston leads U.S. in population growth for 2025, Census says

The 10-county Houston metro added 126,720 residents from July 1, 2024, to July 1, 2025. Photo via Getty Images

Imagine that the Houston metro area swallowed a city the size of Pearland in just one year. That’s essentially what happened from 2024 to 2025, with the Houston metro ranking first in the U.S. for population growth based on the number of people. New estimates from the U.S. Census Bureau show the 10-county Houston metro added 126,720 residents from July 1, 2024, to July 1, 2025. That’s just shy of Pearland’s roughly 133,000-resident tally. Continue reading.

4. 8+ can't-miss Houston business and innovation events in April


From the Rice Business Plan Competition to the Veterans Business Battle, here's what not to miss in April and how to register. Photo courtesy the Ion

Houston's weeklong innovation festival kicked off April, followed by Rice University's globally recognized pitch competition returning for its 26th year. Plus, find coworking pop-ups, industry meetups, pitch battles and even a crawfish boil on the calendar. Continue reading.

5. Houston unicorn closes $421M to fuel first phase of flagship energy project

Tim Latimer, CEO and co-founder of Fervo Energy. Photo courtesy of Fervo Energy

Houston geothermal unicorn Fervo Energy has closed $421 million in non-recourse debt financing for the first phase of its flagship Cape Station project in Beaver County, Utah. Fervo believes Cape Station can meet the needs of surging power demand from data centers, domestic manufacturing and an energy market aiming to use clean and reliable power. According to the company, Cape Station will begin delivering its first power to the grid this year and is expected to reach approximately 100 megwatts of operating capacity by early 2027. Fervo added that it plans to scale to 500 megawatts. Continue reading.

UH breakthrough moves superconductivity closer to real-world use

Energy Breakthrough

University of Houston researchers have set a new benchmark in the field of superconductivity.

Researchers from the UH physics department and the Texas Center for Superconductivity (TcSUH) have broken the transition temperature record for superconductivity at ambient pressure. The accomplishment could lead to more efficient ways to generate, transmit and store energy, which researchers believe could improve power grids, medical technologies and energy systems by enabling electricity to flow without resistance, according to a release from UH.

To break the record, UH researchers achieved a transition temperature 151 Kelvin, which is the highest ever recorded at ambient pressure since the discovery of superconductivity in 1911.

The transition temperature represents the point just before a material becomes superconducting, where electricity can flow through it without resistance. Scientists have been working for decades to push transition temperature closer to room temperature, which would make superconducting technologies more practical and affordable.

Currently, most superconductors must be cooled to extremely low temperatures, making them more expensive and difficult to operate.

UH physicists Ching-Wu Chu and Liangzi Deng published the research in the Proceedings of the National Academy of Sciences earlier this month. It was funded by Intellectual Ventures and the state of Texas via TcSUH and other foundations. Chu, founding director and chief scientist at TcSUH, previously made the breakthrough discovery that the material YBCO reaches superconductivity at minus 93 K in 1987. This helped begin a global competition to develop high-temperature superconductors.

“Transmitting electricity in the grid loses about 8% of the electricity,” Chu, who’s also a professor of physics at UH and the paper’s senior author, said in a news release. “If we conserve that energy, that’s billions of dollars of savings and it also saves us lots of effort and reduces environmental impacts.”

Chu and his team used a technique known as pressure quenching, which has been adapted from techniques used to create diamonds. With pressure quenching, researchers first apply intense pressure to the material to enhance its superconducting properties and raise its transition temperature.

Next, researchers are targeting ambient-pressure, room-temperature superconductivity of around 300 K. In a companion PNAS paper, Chu and Deng point to pressure quenching as a promising approach to help bridge the gap between current results and that goal.

“Room-temperature superconductivity has been seen as a ‘holy grail’ by scientists for over a century,” Rohit Prasankumar, director of superconductivity research at Intellectual Ventures, said in the release. “The UH team’s result shows that this goal is closer than ever before. However, the distance between the new record set in this study and room temperature is still about 140 C. Closing this gap will require concerted, intentional efforts by the broader scientific community, including materials scientists, chemists, and engineers, as well as physicists.”

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This article originally appeared on EnergyCapitalHTX.com.

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