SaaS Churn Benchmarks by Industry: 2026 MRR Retention Data

Industry-by-industry SaaS churn benchmarks across 15 sectors · Data curated from public SaaS research · Published by ChurnLens

Key Findings

5.2% Median monthly gross churn for SMB SaaS products under $5K ACV — the highest churn of any segment
0.6% Best-in-class monthly gross churn for enterprise SaaS — the top 10% of companies lose almost no recurring revenue
115% Median NRR for enterprise SaaS — expansion revenue more than offsets gross churn in this segment
2.9× Difference between SMB and enterprise median churn — ACV band is the strongest predictor of churn rate

Introduction

Churn rates vary dramatically by industry, customer segment, and pricing model — yet most published benchmarks collapse everything into a single number. This report disaggregates the data by industry vertical and ACV band to give SaaS founders, acquirers, and analysts a more useful comparison set.

The data reveals that ACV is the single strongest predictor of churn, explaining more variance than industry vertical alone. Enterprise SaaS products (ACV >$25K) consistently report the lowest churn and highest NRR, while SMB products at under $5K ACV face monthly churn rates above 5%. Payment failure — not product dissatisfaction — is the top cause in SMB land.

Churn Benchmarks by Industry

IndustryGross ChurnBest-in-ClassBottom QuartileNRRTypical ACVTop Driver
SMB SaaS (<$5K)5.2%2.1%8.5%95%$2.4KPayment failure
B2B SaaS ($5-25K)3.1%1.2%5.8%101%$12KLack of engagement
Enterprise (>$25K)1.8%0.6%3.5%115%$48KChampion turnover
E-commerce4.8%2.5%8.2%96%$5KCompetition
EdTech4.5%2.0%7.8%97%$6KSeasonality
Analytics4.2%1.9%7.5%99%$11KData quality
Communication4.0%1.6%6.5%101%$14KPlatform switching
DevTools3.9%1.8%6.8%100%$9KFree tier adequacy
Fintech3.8%1.5%6.2%98%$8KRegulatory churn
Vertical SaaS3.6%1.4%6.1%100%$18KMarket contraction
HR Tech3.5%1.3%6.0%102%$15KEmployee turnover
CRM & Sales3.3%1.1%5.5%104%$22KImplementation failure
Infrastructure2.8%1.0%5.0%107%$28KVendor consolidation
Security2.5%0.9%4.8%106%$32KScope creep
HealthTech2.2%0.8%4.1%108%$36KBudget cycles

Methodology

These benchmarks are curated from publicly available SaaS research including published surveys by SaaS Capital, Recurly, Benchmarkit, KeyBanc, OpenView, and Pacific Crest / DTTC. Figures represent cross-study medians compiled from the most recent available data (2024–2026 publications). Where studies reported annual rates, monthly rates are derived by dividing by 12 (this is a simplification; actual monthly churn varies).

"Best-in-class" represents the top 10th percentile across each segment. "Bottom quartile" represents the 25th percentile (worse than 75% of companies). NRR (Net Revenue Retention) measures expansion minus contraction and churn — values above 100% mean existing customers are spending more over time.

Data disclaimer: These figures are compiled from multiple third-party research reports, not a single controlled survey. Definitions of churn (logo vs. revenue, voluntary vs. involuntary, monthly vs. annual) vary between sources. Always verify against the primary source before relying on a specific figure for M&A due diligence or financial planning. Last reviewed: July 2026.

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Citation

ChurnLens. (2026). SaaS Churn Benchmarks by Industry: 2026 MRR Retention Data. Retrieved from https://churnlens.site/research/saas-churn-benchmarks-2026

License

This work is licensed under CC BY 4.0. You are free to share and adapt for any purpose, provided you provide appropriate attribution.

© 2026 ChurnLens · churnlens.site