B
Evidence Grade B
Graded
accuracy verified by the review judge
Safe to Cite
Recent
25%
25% -- profit increase from retention boost for SaaS companies (2025)
A 5% increase in customer retention can increase profits by 25% to 95%.
- Reported as a range of 25% to 95%
Attribution:
View source
Lighthouse Research Team
Last verified:
·
How we verify data →
Source verified
Evidence graded
Value
25%
Unit
Percentage
Data Vintage
2025
Entity
Evidence Quality
B
Strong, reliable evidence
Sourced from a well-regarded research firm or industry leader with transparent methodology and a reasonably large sample.
Single source - not yet corroborated
Score breakdown
Extraction
50
Source Trust
60
Citation Chain
20
Independence
30
Methodology
45
Freshness
95
Source
Bain & Company (implied, not named)
Primary
Tier C
https://saasplaybooks.com/how-to-measure-customer-retention-rate-accurately/ ↗
Source Article
How To Measure Customer Retention Rate Accurately
Customer retention rate measures how well your business keeps its existing customers over time. It’s calculated using this formula:
Retention Rate (%) = (Ending Customers – New Customers) / Beginning Customers × 100
For example, if you start with 1,000 customers, gain 300 new ones, and end with 1,20…
Original Research
Bain & Company (implied, not named)
· Original study ↗
Methodology
Range 25-95%; midpoint used. Secondary citation of widely cited retention research (Bain & Company).
Methodology documented
Segmentation
Industrymarketing
Cite this stat
Plain Text
SaaS companies: 25% profit increase from retention boost. Source: Bain & Company (implied, not named) (2025). Via Lighthouse Intelligence -- https://lighthousedata.io/data/retention-boost-profit-increase-25-95
HTML Embed
<blockquote cite="https://lighthousedata.io/data/retention-boost-profit-increase-25-95" style="border-left:3px solid #2563eb;padding:12px 16px;margin:16px 0;font-family:system-ui,sans-serif;background:#f0f4ff;"><strong>25%</strong> -- profit increase from retention boost for SaaS companies<br><small>Source: Bain & Company (implied, not named) (2025) · <a href="https://lighthousedata.io/data/retention-boost-profit-increase-25-95" target="_blank" rel="noopener">Lighthouse Intelligence</a></small></blockquote>
Share
Use this data in your work
Copy the citation, embed the widget, or explore thousands more verified marketing statistics -- all free.