What retention rate is good for a startup?
Victor Giurgiu
9 replies
Hello product hunters,
Recently I was thinking about the importance of active users when building a strong startup.
My current returning users rate is around 25-30% for my product Affistash.com.
What about you? I'm curious on what you guys have going on : )
Replies
Krystian Álvarez@krystian8810
Edworking
It depends on many factors but I'd say between 20% to 30%.
Share
Depending on type of platform, anywhere between 50 to 70%
Affistash
@murali_aasaan If we are talking about paid customers, then I definitely agree, but if the startup is running a freemium type product, then I think that it 50 to 70% is a bit high, but definitely achievable
@vicdevelopmently If its freemium, I would retention rate of 5 to 10%
BizPlannerAI
Hi Victor,
I would say it really depends on the industry a startup is in.
Food delivery services would have a different retention rate compared to a startup that sells beds for kids on subscription.
For an established freemium SaaS product the 'gold standard' is usually 40% so having 25-30% in the early stages is extremely positive.
Affistash
@stevenbirchall That's amazing! I guess I'm lucky in that case : )
Depending on how many weeks are you counting. For 8-week retention over 25/30% is good. Higher than 35/40% you have a gem.
Affistash
@joanduarte I think I should be good for now, I am hoping for it to increase with time, since we are still relatively news. Maybe the users didn't have enough time to become familiar with the features.