Average Revenue Per User
ARPUThe average revenue each customer (or account) brings in over a period.
How it's calculated
ARPU = total revenue ÷ number of customers
Why it matters
Rising ARPU means you're selling more value per customer.
Related terms
Monthly Recurring Revenue (MRR)
The predictable revenue you collect every month from subscriptions. The heartbeat metric for any subscription business.
Annual Recurring Revenue (ARR)
Your recurring revenue expressed as a yearly run-rate. Usually just MRR × 12.
Net Revenue Retention (NRR)
How much revenue you keep from existing customers over a year — after upgrades, downgrades, and churn. Above 100% means you grow even with zero new customers.
Gross Revenue Retention (GRR)
Like NRR but without counting upgrades — it can never exceed 100%. Pure measure of how much revenue you lose to churn and downgrades.