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What is Average Revenue Per Paid Subscription metric in RevenueStory?
Average Revenue Per Paid Subscription (ARPPS ) = [(Total MRR) / (No. of Active Paid Subscriptions)]
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What is Average Revenue Per Paid Subscription metric in RevenueStory?
What is Average Revenue Per Paid Subscription metric in RevenueStory?
Average Revenue earned per Paid Subscription per month.
Explanation of metric
- A trend line depicting the Revenue earned per paid Subscription during the period.
- Average Revenue Per Paid Subscription (ARPPS) is used interchangeably with Average Revenue Per Account (ARPA) and Average Revenue Per Unit (ARPU).
How it's measured
Average Revenue Per Paid Subscription (ARPPS ) = [(Total MRR) / (No. of Active Paid Subscriptions)]
Note: Does not include Subscriptions recurring with 100% discount coupon.
Reading
Up: Good
Interpretation
- Increasing ARPPS directly increases the total MRR without having to add new Customers. Increasing your pricing once a year can help you to improve your ARPPS.
- Example: In a given period, 200 Customers are on Plan A ($10/month) and 300 Customers on Plan B ($20/month). Average Revenue Per Paid Subscription would be calculated as:
Total MRR = (200x10)+(300x20) = $8,000
No. of Active Paid Subscribers = (200+300) = 500
Average Revenue Per Paid Subscription = 8000/500 = $16.00
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How to check the average revenue report for a specific subscription?
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