SaaS churn rate correlates to how much your customer pays

4 points by donald544 3 years ago | 2 comments

It is funny how the SaaS churn rate correlates to how much a customer pays.

The retention rate for our Basic plan at howuku.com averages around 5 months.

And, the retention rate for our Premium plan is more than 12 months, and Enterprise has a 100% retention rate.

Don’t underprice your SaaS product, the thing is, by underpricing your product you will attract the wrong audience who only subscribed because it is affordable.

Another observation is that the lesser they pay the more they ask for then they bounce.

What do you think?

Jugurtha 3 years ago |

The site is strange. When I visit the first time on my signed in Chrome session, it displays "See How Users Are Experiencing Your Website" and then the text rapidly changes to "Your One Stop Web Optimization Platform". If I refresh, it starts with the first text then rapidly changes to the second. However, if I visit from an incognito tab, it starts and stays at "See How Users Are Experiencing Your Website".

What kind of fuckery is that?

Also, have you tried to use your own service to "See How Users Are Experiencing Your Website"? And what were your findings?

solumunus 3 years ago |

The only reason someone is paying more is because it's more crucial/valuable to their needs than the people paying for less. Seems obvious churn would be lower.