Three reasons why your AE will churn in 2025

There is no point hiring strong salespeople if you cannot retain them.

In 2024, around 34% of SaaS salespeople churned. In B2B SaaS specifically, that number was closer to 36%. Those numbers are not caused by bad hiring alone. They are caused by structural mistakes inside sales organisations.

These are the top three reasons your Account Executives are likely to churn in 2025.

1. Compensation is still the number one reason people leave

This should not be surprising, but it is still ignored.

89% of B2B SaaS sellers who left their role last year mentioned compensation as a contributing factor. Not the only factor, but a decisive one.

Underpaying sales staff might feel smart in the short term. It protects burn. It looks disciplined. In reality, it is expensive.

Underpaid AEs:

  • Start looking elsewhere earlier

  • Disengage faster when things get tough

  • Leave the moment a better offer appears


Cash is still king in 2025. If your compensation plan is not competitive, no culture deck or mission statement will save you.

2. Poor leadership drives attrition faster than bad targets

The second most common reason SaaS sellers gave for leaving was leadership.

Around 80% of sellers who churned in 2024 mentioned leadership as a key variable.

This is not about founders being bad people. It is usually about structure.

As teams scale, not everyone reports directly into the founder anymore. Middle management suddenly matters a lot.

If you have weak managers in between you and the sales floor, you will lose good people even if pay is fair.

Hiring managers for 2025 should look closely at:

  • Who is coaching AEs day to day

  • Who controls feedback and performance conversations

  • Who carries accountability when deals stall


Salespeople do not leave companies. They leave managers.

3. Poor product market fit pushes good AEs out

This one is harder to hear.

75% of sellers cited poor product market fit as one of the reasons they left their company.

That does not mean the product is bad. It means the sales reality does not match the promise.

Common issues:

  • Selling a product that is not ready

  • Constant pivots without clear messaging

  • Greenfield roles with no defined ICP or motion

  • Targets set as if PMF already exists


For founders and hiring managers, this means you need to be honest before you hire.

If the role is greenfield, say it. If the motion is still being figured out, say it. If the AE is expected to help define the playbook, say it.

Salespeople can handle uncertainty. They cannot handle surprises.

The takeaway

Retention is not an HR problem. It is a leadership problem.

If your AEs churn in 2025, look first at:

  • Whether you are paying fairly

  • Whether you have the right managers in place

  • Whether your product and sales motion are actually ready


Hiring good people is hard. Losing them because of avoidable mistakes is worse.