GovTech vs Logistics SaaS Churn Rate
Side-by-side benchmark comparison, updated March 2026.
GovTech has a lower monthly churn rate (0.8%) than Logistics SaaS (1.9%), a difference of 1.1 percentage points. GovTech median ARPU is $500 versus $240 for Logistics SaaS.
Head-to-head benchmarks
| Metric | GovTech | Logistics SaaS |
|---|---|---|
| Monthly churn | 0.8% | 1.9% |
| Annual churn | 9.2% | 20.9% |
| Median ARPU | $500 | $240 |
| Typical customer base | 50-500 | 100-3,000 |
Top govtech churn drivers
- Budget appropriation cycle not renewed for the software line item32%
- Procurement rules required retendering after contract term27%
- Elected official change shifted departmental priorities20%
- Product failed FedRAMP, StateRAMP, or CJIS compliance audit13%
Top logistics saas churn drivers
- Shipper reduced volume due to business contraction28%
- Carrier or 3PL offered in-house TMS tool as bundled service25%
- Integration failures with ERP or WMS platform22%
- Product lacked real-time carrier rate shopping14%
Why govtech retains better than logistics saas
The 1.1-point gap between GovTech and Logistics SaaS reflects differences in switching cost, value density, and purchase motivation. GovTech customers face higher integration and data-migration friction, which extends tenure. Logistics SaaS tends to have more fragmented alternatives and weaker lock-in. Details in each benchmark page above.
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