SaaS Churn Rate Benchmarks in 2025: Where Travel Apps Like TripFrog Stand

In 2025, the SaaS enterprise will continue to grow at an incredible pace, but with speedy growth comes a major venture: churn. For travel-related SaaS systems like TripFrog, knowledge churn, decreasing it, and keeping a Good SaaS Churn Rate is crucial for long-time period achievement.

This article explains what churn fee approach, cutting-edge enterprise benchmarks in 2025, and where journey-tech systems like TripFrog stand compared to different SaaS categories. Everything is written in easy, clean language so that you can in reality recognize what subjects — and why.

What Is Churn Rate in SaaS?

Churn rate tells you how many customers cancel their subscription or stop using your product over a specific time — usually monthly or yearly.

There are two main types of churn:

1. Customer Churn

How many users you lose.

2. Revenue Churn

How much money you lose due to cancellations or downgrades.

For any SaaS business, churn shows how healthy your customer base is. A high churn rate means users do not stay long. A low churn rate means users are finding value in your service.

What Is Considered a Good SaaS Churn Rate?

A Good SaaS Churn Rate depends on your industry, business model, and target audience.

But in general:

Monthly Churn Benchmarks (2025)

  • Excellent: 1% – 2%
  • Good: 2% – 4%
  • Average: 4% – 7%
  • High / Concerning: Above 7%

Annual Churn Benchmarks (2025)

  • Excellent: 10%
  • Good: 10% – 20%
  • Average: 20% – 40%
  • High: 40%+

These numbers vary widely by sector, which brings us to a very important point: travel SaaS behaves differently from other SaaS industries.

Why Travel SaaS Has Higher Churn Than Other Industries

Travel is seasonal. People do not plan trips every month. Some users book once a year, while others travel every few months. That means travel apps naturally face:

  • Seasonal usage
  • Infrequent bookings
  • Long gaps between user activity
  • Trial-based users
  • Price-sensitive customers

This makes churn a bigger challenge for travel platforms compared to fields like CRM, HR SaaS, finance tools, or healthcare SaaS.

SaaS Churn Rate Benchmarks in 2025 — Industry Comparison

Below are the average churn rates by industry in 2025 so we can understand where travel SaaS stands.

SaaS Churn Benchmarks by Industry (2025)

IndustryAvg. Monthly ChurnNotes
FinTech SaaS1.5% – 3%Strong retention, essential tools
HealthTech SaaS1% – 2.5%Low churn due to necessity
CRM / B2B SaaS2% – 4%High business dependence
EdTech SaaS3% – 5%Moderate retention
Travel SaaS5% – 9%Seasonal usage & non-essential
Lifestyle Apps6% – 10%Trend-driven usage

Travel SaaS ranks among the industries with higher churn, mainly because travel needs change throughout the year.

This means platforms like TripFrog need special strategies to maintain a Good SaaS Churn Rate that fits the dynamics of their market.

Where Travel Apps Like TripFrog Stand in 2025

Travel apps have evolved. With AI-based travel planning, personalization tools, budget prediction features, and improved UX, the travel SaaS sector is becoming more competitive.

The Average Travel App Churn in 2025

  • Monthly churn: 6% – 8%
  • Annual churn: 30% – 45%

If TripFrog stays closer to the lower end of this range, it is performing well compared to competitors.

TripFrog’s Biggest Challenges

Travel apps face unique churn triggers:

  1. Seasonal travel trends
  2. Users switching to cheaper or free apps
  3. Irregular usage habits
  4. Changing travel goals year to year
  5. Lack of habit formation
  6. Not enough personalization

TripFrog’s success depends on how effectively it can reduce these churn causes.

What Does a “Good SaaS Churn Rate” Look Like for Travel Apps?

A realistic Good SaaS Churn Rate for a travel platform like TripFrog would be:

TripFrog Ideal Targets

  • Monthly churn: 3% – 5%
  • Annual churn: 20% – 30%

These numbers are achievable with the right retention strategies.

Remember: A good churn rate for travel apps is naturally higher than a good churn rate for finance or B2B SaaS because travel is not a daily need.

How TripFrog Can Reduce Churn in 2025

Reducing churn is possible when the app consistently gives users value — even when they are not currently planning a trip.

1. Personalised Travel Suggestions

AI can send:

  • Trip ideas
  • Flight alerts
  • Budget predictions
  • Location guides

This keeps users engaged year-round.

2. Better Onboarding

Most churn happens in the first week.
A simple, guided onboarding experience helps users feel the value immediately.

3. Reward System

Gamification like:

  • Travel points
  • Badges
  • Monthly challenges

Increases retention.

4. Automatic Price Alerts

Users love deals.
If TripFrog sends price-drop alerts or early-bird offers, users keep coming back.

5. Improved User Support

Fast, friendly support reduces frustration-based cancellations.

6. Email & Push Notification Strategy

Send valuable reminders:

  • Holiday deals
  • Monthly travel tips
  • Personalized itineraries
  • Visa updates

Content keeps the user connected.

7. Community-Based Features

If TripFrog adds:

  • Traveler groups
  • Travel stories
  • Forum features
    …users stay for engagement, not just booking.

Why Benchmarking Matters for TripFrog

Knowing the average churn benchmarks helps TripFrog:

  • Evaluate performance
  • Identify user pain points
  • Improve retention strategies
  • Understand where they stand in the travel SaaS market
  • Predict revenue growth with more accuracy

If the app stays below the industry average churn, it has a strong competitive advantage.

Final Thoughts

In 2025, the definition of a Good SaaS Churn Rate varies throughout industries; however, for travel apps like TripFrog, staying within a three%–5% monthly churn range is considered healthy. Travel apps naturally experience higher churn due to seasonal and irregular usage patterns, making retention a tougher venture compared to other SaaS products.

However, with smart personalisation, robust onboarding, a rewards machine, and non-stop engagement, TripFrog can substantially decrease churn and outperform other tour SaaS structures.

Churn is not just a metric — it’s a mirror that reflects how much value your product gives your users. When that value grows, churn naturally drops.

Alex Carter

Hi, I’m Alex Carter—a travel writer and digital nomad who's spent the past decade discovering hidden gems worldwide. From crafting budget-friendly adventures to sharing authentic travel hacks, my mission is to inspire you to explore deeper and travel smarter. Let's turn your wanderlust into reality!