Artificial Intelligence (AI)-Enhanced Subscription Churn Scoring Market Report 2025

The artificial intelligence (AI)-enhanced subscription churn scoring market size has grown exponentially in recent years. It will grow from $2.03 billion in 2024 to $2.53 billion in 2025 at a compound annual growth rate (CAGR) of 24.6%. The growth during the historic period can be attributed to the widespread adoption of subscription-based business models across various industries, a stronger emphasis on optimizing customer lifetime value, rising consumer demand for personalized experiences, increased expectations for responsive customer support, and a growing preference for flexible subscription plans.

The artificial intelligence (AI)-enhanced subscription churn scoring market size is expected to see exponential growth in the next few years. It will grow to $6.03 billion in 2029 at a compound annual growth rate (CAGR) of 24.3%. The expected growth in the forecast period is driven by increasing awareness of data privacy and security issues, greater use of mobile devices for subscription services, heightened demand for seamless user experiences across platforms, the need for real-time updates and notifications, and growing reliance on social media for customer service interactions. Key trends include advancements in machine learning and AI algorithms, development of explainable AI models to enhance transparency, integration of natural language processing for sentiment analysis, use of deep learning techniques for recognizing complex patterns, and wider adoption of ensemble models.

The rising use of cloud-based solutions is expected to drive growth in the AI-enhanced subscription churn scoring market. Cloud-based solutions are software or services accessed via the internet, allowing remote data and application management. Their adoption is growing due to the increasing demand for remote work and collaboration, enabling employees to securely access and work with data from any location, which boosts productivity and ensures business continuity. Utilizing cloud-based platforms allows companies to gather, store, and process vast amounts of customer data in real time, creating a need for AI-powered churn scoring to analyze this data accurately and predict customer churn more effectively. For example, in January 2025, AAG IT Services, a UK-based IT company, reported that in 2022, 89% of surveyed organizations used multi-cloud solutions for storage and workloads, while only 9% relied on a single public cloud, and 2% used a single private cloud. Thus, the growing adoption of cloud-based solutions is fueling the expansion of the AI-enhanced subscription churn scoring market.

The growing use of social media is expected to boost the AI-enhanced subscription churn scoring market. Social media platforms enable users to create content, communicate, and engage with others instantly. Increased social media usage is driven by the widespread availability of smartphones and fast internet, allowing users to stay connected anytime and anywhere. This surge generates large volumes of user engagement and behavioral data, which require AI-enhanced churn scoring to accurately identify users who might discontinue a service by analyzing subtle activity patterns. For example, in January 2022, a report by We Are Social, a UK media agency, and Hootsuite, a Canadian software company, indicated that there were 4.62 billion social media users worldwide, representing 58.4% of the global population. In the previous year, social media users grew by over 10%, with 424 million people joining in 2021. Consequently, the rise in social media use is driving growth in the AI-enhanced subscription churn scoring market.

In October 2024, Totango, a U.S.-based customer success platform focused on AI-driven churn intelligence, acquired Parative AI for an undisclosed sum. This acquisition allowed Totango to introduce Unison, a generative AI-powered growth intelligence engine that integrates customer data to forecast churn, identify risks, and uncover opportunities for expansion. Parative AI, also based in the U.S., specializes in AI-enhanced subscription churn scoring.

Major players in the artificial intelligence (AI)-enhanced subscription churn scoring market are Salesforce Inc., Adobe Inc., SAS Institute Inc., HubSpot Inc., Intercom, Braze Inc., Gainsight Inc., MoEngage Inc., CleverTap, Optimove Inc., ChurnZero Inc., Totango Inc., Vitally Inc., DynamicYield Ltd., Planhat, Pecan AI, ProfitWell, CustomerGauge Co., Strikedeck Inc., Churnkey, and Custify Srl.

North America was the largest region in the artificial intelligence (AI)-enhanced subscription churn scoring market in 2024. Asia-Pacific is expected to be the fastest-growing region in the forecast period. The regions covered in artificial intelligence (AI)-enhanced subscription churn scoring report are Asia-Pacific, Western Europe, Eastern Europe, North America, South America, Middle East and Africa. The countries covered in the artificial intelligence (AI)-enhanced subscription churn scoring market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

The rapid escalation of U.S. tariffs and the resulting trade tensions in spring 2025 are significantly impacting the information technology sector, particularly in hardware manufacturing, data infrastructure, and software deployment. Higher duties on imported semiconductors, circuit boards, and networking equipment have raised production and operational costs for tech firms, cloud service providers, and data centers. Companies relying on globally sourced components for laptops, servers, and consumer electronics are facing longer lead times and increased pricing pressures. In parallel, tariffs on specialized software tools and retaliatory measures from key international markets have disrupted global IT supply chains and reduced overseas demand for U.S.-developed technologies. To navigate these challenges, the sector is accelerating investments in domestic chip fabrication, diversifying supplier bases, and adopting AI-driven automation to enhance operational resilience and cost efficiency.

AI-enhanced subscription churn scoring involves leveraging advanced artificial intelligence algorithms and machine learning methods to predict the probability that a subscriber will cancel or fail to renew their subscription. By examining extensive customer data, such as behavior, engagement trends, and transactions, this technology enables businesses to detect at-risk customers early and apply targeted retention strategies, ultimately reducing churn and increasing customer lifetime value.

The primary components of AI-enhanced subscription churn scoring are software and services. The software includes platforms and applications that utilize AI to analyze subscriber behavior and forecast churn. These solutions can be deployed via the cloud or on-premises and are suitable for organizations of all sizes, from small and medium-sized enterprises to large corporations. The technology is used across industries such as telecommunications, media and entertainment, e-commerce, banking, financial services and insurance (BFSI), healthcare, software as a service (SaaS), and more, serving both business-to-business (B2B) and business-to-consumer (B2C) markets.

The artificial intelligence (AI)-enhanced subscription churn scoring market research report is one of a series of new reports that provides artificial intelligence (AI)-enhanced subscription churn scoring market statistics, including artificial intelligence (AI)-enhanced subscription churn scoring industry global market size, regional shares, competitors with a artificial intelligence (AI)-enhanced subscription churn scoring market share, detailed artificial intelligence (AI)-enhanced subscription churn scoring market segments, market trends and opportunities, and any further data you may need to thrive in the artificial intelligence (AI)-enhanced subscription churn scoring industry. This artificial intelligence (AI)-enhanced subscription churn scoring market research report delivers a complete perspective of everything you need, with an in-depth analysis of the current and future scenario of the industry.

The artificial intelligence (AI)-enhanced subscription churn scoring market includes revenues earned by entities by churn prediction modeling, personalized retention strategies, behavioral analytics, sentiment analysis, and revenue impact forecasting. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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