The average recurring revenue earned from each active paid subscription during a specific period.
Explanation of metric
This metric tracks the revenue generated from each paid subscription and is used to gauge the overall financial health of a subscription-based business. It can also be referred to as Average Revenue Per Account (ARPA) or Average Revenue Per Unit (ARPU). By monitoring ARPPS, businesses can assess the effectiveness of their pricing and plan structure.
How it's measured
Average Revenue Per Paid Subscription (ARPPS)
= (Total MRR) / (Number of Active Paid Subscriptions)
Subscriptions that use a 100% discount coupon are excluded from this calculation.
Reading
An increasing ARPPS indicates higher earnings per customer, boosting total MRR without the need to acquire new customers.
Interpretation
An increase in ARPPS directly raises total MRR, helping businesses grow revenue without expanding their customer base. It can reflect the successful implementation of strategies such as price increases, premium service offerings, or encouraging customers to move to higher-tier plans.
Example
In a given period, 200 Customers are on Plan A ($10/month), and 300 Customers are on Plan B ($20/month)
Plan A: 200 customers at $10/month
Plan B: 300 customers at $20/month
Total MRR = (200X10)+(300X20) = $8,000
Number of Active Paid Subscribers = (200+300) = 500
Average Revenue Per Paid Subscription = 8000/500 = $16.00
The average recurring revenue earned from each active paid subscription, segmented by country.
Explanation of metric
This metric provides insights into how much revenue is generated per paid customer in each country. It helps businesses assess the effectiveness of their pricing and customer value in different regions. ARPPS by Country is synonymous with Average Revenue Per Account (ARPA) or Average Revenue Per Unit (ARPU).
How it's measured
Average Revenue Per Paid Subscription by Country
= [(Total MRR)/ (Number of Paid Subscriptions per Country)]
Includes MRR from the beginning of the last year.
Reading
An increase in ARPPS by Country indicates higher earnings per customer in that country, reflecting a healthy customer base and pricing strategy.
Interpretation
High ARPPS in a country signifies that customers in that region derive significant value from the product or service. This metric should be observed alongside the Customer Lifetime Value (LTV) for a deeper understanding of long-term customer engagement and revenue potential in specific regions.
Example
In a given period, 200 Customers are on Plan A ($10/month), and 300 Customers on Plan B ($20/month) are from the same Country.
Country: U.S.
Plan A: 200 customers at $10/month
Plan B: 300 customers at $20/month
Total MRR = (200X10)+(300X20) = $8,000
Number of Active Paid Subscribers = (200+300) = 500
Average Revenue per Paid Subscription by Country = 8000/500 = $16.00
The average recurring revenue earned from each paid subscription, segmented by acquisition channel.
Explanation of metric
This metric breaks down the revenue earned per paid subscription based on the channel through which the customer was acquired.
This metric is only available with RevenueStory (RS) premium. To utilize this metric effectively, a custom field must be configured at the Customer resource level in Chargebee and mapped to the acquisition channel. This custom field can be tailored to your business needs, but meaningful values should be used for accurate analysis. For assistance, reach out to your Customer Success Manager or contact support .
How it's measured
Average Revenue per Paid Subscription by Acquisition Channel
= [(Total MRR)/ (Number of Paid Subscriptions per Customer Acquisition Channel)]
Reading
An increase in ARPPS by Acquisition Channel indicates that customers acquired through a specific channel are generating higher revenue, reflecting the effectiveness of that channel.
Interpretation
This metric helps assess the average revenue generated from paying customers by acquisition channel. It provides a clear understanding of which channels are most effective in generating revenue and helps guide investment decisions. A higher ARPPS from a particular channel indicates strong revenue performance from customers acquired through that source.
Example
In a given period, 200 Customers are on Plan A ($10/month) and 300 Customers on Plan B ($20/month) acquired through Channel 1.
Acquisition Channel: Channel 1
Plan A: 200 customers at $10/month
Plan B: 300 customers at $20/month
Total MRR = (200X10)+(300X20) = $8,000
Number of Active Paid Subscribers = (200+300) = 500
Average Revenue per Paid Subscription by Acquisition Channel (Channel)
= (8000/500) = $16.00
The average recurring revenue earned from each paid subscription, segmented by customer type.
Explanation of metric
This metric shows the average revenue earned per paid subscription for different customer types. It is often visualized using a bar chart, where customer types with Monthly Recurring Revenue (MRR) greater than $5K USD are highlighted.
To use this metric effectively, a custom field must be configured at the Customer resource level in Chargebee and mapped to the Sales Agent field in RevenueStory. Custom values can be set based on business needs. For assistance, contact your Customer Success Manager or contact support .
How it's measured
Average Revenue Per Paid Subscription by Customer Type
= [(Total MRR)/ (Number of Paid Subscriptions per Customer Type)]
Reading
An increase in ARPPS by Customer Type indicates higher revenue generation from that customer segment, suggesting high value derived from the product or service.
Interpretation
A high ARPPS for a specific customer type indicates that customers within that segment are generating more revenue and likely finding more value in the product or service. This metric, when viewed alongside the Customer Lifetime Value (LTV), can provide insights into the long-term value of those customers. Businesses can focus on strategies to acquire more customers from high-performing segments.
Examples
Example 1 (MRR < $5K USD)
In a given period, 200 Customers are on Plan A ($10/month) and 300 Customers on Plan B ($20/month) belong to the same Customer Type (< $5K USD processed)
Customer Type: Customers processing less than $5K USD
Plan A: 200 customers at $10/month
Plan B: 300 customers at $20/month
Total MRR for Customer Type: (200X10)+(300X20) = $8,000
Number of Active Paid Subscribers: Subscribers = (200+300) = 500
Average Revenue per Paid Subscription (Customer Type)= (8000/500) = $16.00
Example 2 (MRR > $5K USD):
In a given period, 100 customers on Plan X ($50/month) and 150 customers on Plan Y ($100/month) belong to the same customer type. This customer type has an MRR greater than $5K USD.
Plan X: 100 customers at $50/month
Plan Y: 150 customers at $100/month
Total MRR for Customer Type = (100 x $50) + (150 x $100) = $5,000 + $15,000 = $20,000
Number of Active Paid Subscriptions = 100 + 150 = 250
Average Revenue per Paid Subscription (Customer Type) = $20,000 / 250 = $80.00
The average revenue earned from a paid subscription over its lifetime.
Explanation of metric
A trend line illustrates the estimated average revenue generated by a paid subscription throughout the customer's lifecycle. This metric is also available as a point-in-time KPI that shows the average revenue earned per paid subscription over its lifetime, alongside the variance and percentage change in estimated LTV across different periods.
How it's measured
Lifetime Value of a Paid Subscription
= [(ARPPS) x (Paid Subscription Lifetime)]
Reading
An increase in LTV indicates that the business is retaining customers longer, generating more revenue over the lifetime of subscriptions.
Interpretation
Lifetime Value (LTV) measures a customer's financial worth over the entire period they stay subscribed. This metric helps track and optimize customer acquisition costs by ensuring that the revenue generated over a customer's lifetime exceeds the acquisition and retention expenses. A high LTV suggests that customers find consistent value in the service, leading to long-term relationships.
Example
In a given period,
Total Active Paid Subscriptions: 500
Total MRR: $10,000
ARPPS:
ARPPS = (Total MRR) / (No. of Active Paid Subscriptions)
ARPPS = [(10,000/500)]= $20
If Average Paid Subscriptions Churn Rate = 15%
Paid Subscription Lifetime:
Paid Subscription Lifetime = [(1/15)x100]= 6.6
LTV :
LTV = [(20 x 6.6)] = $132
Thus, the lifetime value of a paid subscription is $132.
The average revenue earned from a paid subscription over its lifetime, segmented by Business Type (e.g., E-Commerce, SaaS, Ed Tech).
Explanation of metric
This metric is visualized through a chart that represents the estimated average revenue generated by a paid subscription throughout the lifespan of customers, segmented by different business types such as E-Commerce, SaaS, and Ed Tech.
To leverage this metric, businesses must configure a custom field at the customer resource level in Chargebee and map it to the Business Type field in RevenueStory. This segmentation helps provide insights into the specific performance of different customer groups based on their business model.
How it's measured
Lifetime Value of a Paid Subscription by Business Type
= (ARPPS)×(Paid Subscription Lifetime)
To calculate the LTV of a Paid Subscription by Business type. ARPPS and Paid Subscription Lifetime need to be segmented by Business Type as well.
Reading
An increase in LTV by business type indicates that the business is retaining customers from that specific segment longer, and generating more revenue over their subscription lifetime.
Interpretation
This metric provides a clear understanding of the lifetime financial value of subscriptions for different business types, such as E-Commerce, SaaS, and Ed Tech. It helps businesses evaluate the revenue potential for each segment and identify which types of customers provide the most long-term value. Combining LTV with the Customer Acquisition Cost (CAC) ratio can also highlight which business types have the most cost-effective customer acquisition strategies.
Example
For a SaaS business during a given period:
Total Active Paid Subscriptions (SaaS): 500
Total MRR (SaaS): $10,000
ARPPS = [(10,000/500)]= $20
If Average Paid Subscriptions Churn Rate = 15%
Subscription Lifetime = [(1/15)x100]= 6.6
Thus, the Lifetime Value of a SaaS Subscription is $132.
The average revenue earned from a paid subscription over its lifetime, segmented by Customer Type.
Explanation of metric
This metric measures the average revenue that a paying customer generates over the lifetime of their subscription, broken down by customer type. It helps businesses understand which customer types are most valuable over the long term.
How it's measured
Lifetime Value of a Paid Subscription by Customer Type
= ARPPS X Paid Subscription Lifetime
Reading
An upward trend indicates that customers from certain types are staying subscribed longer and generating more revenue over their lifetime.
Interpretation
This metric helps identify which customer types provide the most value to the business over the long term. Focus on customer types with a high Lifetime Value (LTV), as these customers are likely to be the most profitable.
A critical aspect of this metric is the LTV to Customer Acquisition Cost (CAC) ratio. If the LTV/CAC ratio is less than 1, it indicates the cost to acquire these customers is higher than their value over time, which could signal a problem with profitability in that segment.
Example
In a given period, for Customer Type A:
Average Revenue Per Paid Subscription (ARPPS): $200 per month
Paid Subscription Lifetime: 24 months
LTV for Customer Type A:
LTV=ARPPS×Paid Subscription Lifetime=200×24= $4,800
For Customer Type B:
ARPPS: $150 per month
Paid Subscription Lifetime: 36 months
LTV for Customer Type B:
LTV=150×36= $5,400
In this example, Customer Type B has a higher Lifetime Value ($5,400) compared to Customer Type A ($4,800), indicating that Customer Type B is more valuable over the long term. By focusing marketing efforts on acquiring more customers similar to Customer Type B, the business can potentially improve overall profitability.
A Summary of subscription movements from one plan to another.
Explanation of metric
This metric provides a detailed overview of how subscriptions have transitioned from one plan to another within a specified period. It includes information on the previous plan, the new plan, and the number of subscriptions that have changed plans.
This report is available with RS Premium only. To enable this, contact your Customer Success Manager or contact support .
How it's measured
Plan Movement Summary
= Total number of subscriptions moved from one plan to another.
This does not include multiple plan changes within a month or changes in the month of activation.
Reading
Typically, the reading itself is not necessarily good or bad. The interpretation depends on the direction and volume of the plan movements.
Interpretation
Subscriptions Moving to Higher-Priced Plans: Indicates customer satisfaction and preference for more advanced features or value. This movement is generally positive as it contributes to increased revenue.
Subscriptions Moving to Lower-Priced Plans: May indicate dissatisfaction or budget constraints. This movement can signal potential issues with customer retention or product value, contributing to MRR churn.
Example
In a given period:
This summary helps in understanding customer preferences, detecting potential issues with plan satisfaction, and assessing the impact on overall revenue.
Summary of all paid subscriptions based on status.
Explanation of metric
This metric provides a comprehensive overview of paid subscriptions segmented by their status, including upgraded, downgraded, cancelled, paused, or reactivated during a specific period. The data is visualized using a stacked bar chart.
How it's measured
Paid Subscription Summary
= Number of paid subscriptions segmented by MRR status and sub status during the period.
Reading
An upward trend in this metric indicates strong customer acquisition, effective retention strategies, or successful upselling.
Interpretation
Overall Subscription Health: The Paid Subscription Summary helps assess a business's overall health by indicating how subscriptions are evolving. A positive trend in upgraded and reactivated subscriptions is favorable, whereas high numbers of downgraded, canceled, or paused subscriptions could be cause for concern.
Investor Insights: This metric serves as a key indicator for investors to evaluate a business's growth and stability. A growing number of paid subscriptions and successful upgrades can signal a healthy and expanding business.
Example
In a given period:
Number of Paid Subscriptions: 10,500
Upgraded Subscriptions: 4,000
Downgraded Subscriptions: 2,000
Reactivated Subscriptions: 1,500
Free to Paid Subscriptions: 4,000
Resumed Subscriptions: 3,000
This summary helps in understanding the dynamics of subscription activity and is crucial for evaluating business performance and growth potential.
Percentage of paid canceled subscriptions.
Explanation of metric
This metric represents the percentage of paid subscriptions that were canceled during a specific period. The data is visualized using a bar chart. A point-in-time KPI is also available to compare the current period's churn rate with that of the previous period, showing the percentage change across both periods.
How it's measured
Paid Subscription Churn Rate
= [(No of Paid Subscriptions CANCELLED) / (Total No of paid Subscriptions at the beginning of period)] x 100
Cancellations within the same activation period are not considered.
Reading
If this metric shows a downward trend, it indicates a positive outcome, as it reflects a reduction in cancellations or downgrades of paid subscriptions.
Interpretation
Business Health: A high Paid Subscription Churn Rate undermines the business's profitability and affects its return on investment (ROI). It indicates that a significant proportion of paid subscriptions are being canceled, which can negatively impact revenue and customer acquisition efforts.
Long-term Success Indicator: The churn rate is a critical metric for subscription-based businesses, as it helps in predicting long-term success. Lower churn rates suggest better customer retention and satisfaction, while higher rates may indicate issues with the product or service offering.
Example
In a given period:
Total Active Paid Customers: 600
Number of Paid Subscriptions canceled: 10
Paid Subscriptions Churn Rate = (10/600)x100 = 1.66%
This metric helps in monitoring and improving customer retention strategies to enhance overall business performance.
Total number of active subscriptions including unpaid subscriptions.
Explanation of metric
This metric shows the total number of subscriptions that are in an ACTIVE state, encompassing both paid and unpaid plans. The data is visualized using a trend line to depict changes over time. A point-in-time KPI is available to indicate the total number of active subscriptions for the current period, along with the variance from the previous period and the percentage change between the two periods.
How it's measured
Total Active Subscriptions
= Total number of ACTIVE Subscriptions during the period.
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Reading
An upward trend in Total Active Subscriptions is a positive sign, indicating growth in your customer base.
Interpretation
Growth Indicator: For an early-stage business, increasing the number of active subscriptions is a positive indicator of growth and market penetration. It reflects the effectiveness of outreach and retention strategies.
Retention Strategy: Monitoring this metric helps in assessing whether your retention strategies are successful. If the number of active subscriptions is not growing as expected, it may be necessary to implement targeted outreach programs or refine retention efforts.
Example
In a given period:
Number of Paid Subscriptions (New & Recurring): 3,500
Number of Unpaid Subscriptions (ACTIVE status only): 500
Total ACTIVE Subscriptions = (3,500 + 500) = 4,000
This metric provides a comprehensive view of your subscription base, highlighting the effectiveness of your acquisition and retention strategies.
Total number of active subscriptions, including unpaid subscriptions, segmented by plan.
Explanation of metric
This metric provides a bar chart representation of the total active subscriptions, segmented by different plans. Each vertical bar represents a plan and is further divided into segments showing subscriptions with an ACTIVE status. The bars are grouped and stacked to illustrate the number of active subscriptions for each plan during the specified period.
How it's measured
Total Active Subscriptions by Plan
= [(Total Count of Subscriptions with status as ACTIVE per Plan during the period.)]
Reading
An upward trend in Total Active Subscriptions by Plan is a positive indicator, showing an increase in the number of customers on specific subscription plans.
Interpretation
Example
In a given period:
Active Subscriptions for Plan A: 250
Active Subscriptions for Plan B: 35
Total number of active subscriptions, including unpaid subscriptions, segmented by Customer Type.
Explanation of metric
This metric provides a stacked bar chart representing the total number of subscriptions in an ACTIVE state, categorized by different Customer Types. Each bar represents a Customer Type and is segmented to show both paid and unpaid subscriptions. This visualization helps in understanding how active subscriptions are distributed across various customer segments.
How it's measured
Total Active Subscriptions by Customer Type
= Number of active subscriptions during the period per customer type.
Reading
An upward trend in Total Active Subscriptions by Customer Type is a positive sign, indicating growth among specific customer segments (e.g., SMB, Enterprise, or Mid-Market).
Interpretation
Customer Segmentation Insight: This metric helps identify which customer types are most engaged with your product or service. It can indicate which segments are thriving and which may require additional focus.
Churn and Acquisition Indicators: A decrease in active subscriptions by Customer Type might suggest higher churn rates or reduced new customer acquisition for that segment. Conversely, an increase could highlight successful engagement or growth strategies for specific customer types.
Strategic Focus: For early-stage businesses, optimizing this metric through targeted outreach programs or retention strategies is crucial. Understanding the distribution by Customer Type can guide decisions on resource allocation, marketing strategies, and product development.
Example
In a given period:
Active Subscriptions for Plan A: 250
Active Subscriptions for Plan B: 35
Total number of subscriptions in ACTIVE status enrolled in a paid plan.
Explanation of metric
This metric provides a trend line showing the total number of subscriptions that are currently active and have a paid status. It includes new subscriptions that have transitioned from free to paid plans, those that have moved from trial to paid, and recurring active paid subscriptions from previous periods.
How it's measured
Total Active Paid Subscriptions
= Total number of active paid subscriptions.
Reading
An upward trend in total active paid subscriptions is a positive indicator, showing growth in the number of paying customers.
Interpretation
Example
In a given period:
Free to Paid Subscriptions: 200
IN TRIAL to Paid Subscriptions: 200
Recurring Active Paid Subscriptions (from previous periods): 3,000
Total active paid subscriptions = (200 + 200 + 3,000) = 3,400
Total number of paid active subscriptions segmented by Plan.
Explanation of metric
This metric shows the total number of customers with an ACTIVE paid subscription, broken down by the specific plan they are subscribed to. It is visualized using a stacked bar chart and excludes customers in trial periods.
How it's measured
Total Active Paid Subscriptions by Plan
= Count of active paid subscriptions per plan.
Reading
An upward trend in Total Active Paid Subscriptions by Plan is a positive indicator, reflecting growth in the number of paying customers subscribed to specific plans.
Interpretation
Example
In a given period:
New Paid Subscriptions (Plan A): 170
Free to Paid Subscriptions (Plan A): 300
Paid Active Subscriptions by Plan (Plan A) = (300 + 170) = 470
Total number of paid active subscriptions segmented by Plan Group.
Explanation of metric
This metric displays the total number of customers who have subscribed to a paid plan, segmented by Plan Group (e.g., Freemium, Launch, Enterprise). It is represented using a stacked bar chart and excludes customers in trial periods.
This metric is available with RS Premium only. To use this metric effectively, configure a custom field at the Customer resource level in Chargebee and map it to the Plan Group field in RevenueStory. For configuration, contact your Customer Success Manager or contact support .
How it's measured
Total Active Paid Subscriptions by Plan Group
= Total Number of ACTIVE paid subscriptions per Plan group
Reading
An upward trend in Total Active Paid Subscriptions by Plan Group is a positive indicator, showing that more customers are subscribing to specific groups of plans.
Interpretation
Example
In a given period:
New Subscriptions Upgraded from Freemium to Enterprise Plan: 10
Enterprise Plan Monthly Rate: $99
Paid Active Subscriptions (Enterprise) = 10
Total number of subscriptions, including unpaid subscriptions.
Explanation of metric
This metric provides a comprehensive view of all subscriptions, represented by a stacked bar chart. It includes subscriptions in various states such as Trial, Active, Canceled, Non-renewing, and Future, as of the end of a specific period.
How it's measured
Total Subscriptions
= Number of Subscriptions during the period
Reading
An upward trend in Total Subscriptions is a positive indicator, showing overall growth in your customer base. This increase reflects successful customer acquisition efforts and suggests that your offerings are resonating with the market.
Interpretation
Example
In a given period:
Total Subscriptions (Trial): 13,000
Total Subscriptions (Active): 8,000
Total number of subscriptions, including unpaid subscriptions, segmented by plan.
Explanation of metric
This metric provides a detailed view of the number of subscriptions associated with each plan, represented by a stacked bar chart. It includes subscriptions in various states such as Trial, Active, Canceled, Non-renewing, and Future, as of the end of a specific period.
How it's measured
Total Subscriptions by Plan
= Number of subscriptions during the period per plan.
Reading
An upward trend in Total Subscriptions by Plan is a positive sign, indicating that more customers are opting for specific subscription plans.
Interpretation
Example
In a given period:
Total Subscriptions (Scale Plan): 13,000
Total Subscriptions (Start-up Plan): 8,000
Total lifetime of paid subscriptions calculated in months.
Explanation of metric
This metric represents the average duration that a paid subscription remains active. It is displayed as a trend line showing the average subscription lifetime over a period. Additionally, a point-in-time KPI is available to compare the current period's average lifetime with previous periods and assess percentage changes.
How it's measured
Average Lifetime of a Paid Subscription
= [1/Average(Paid Subscription Churn Rate)] x 100
Paid Subscription Churn Rate = [(No of Paid Subscriptions CANCELLED) / (Total No of paid Subscriptions at the beginning of period)] x 100
Reading
An upward trend in the Average Lifetime of a Paid Subscription is a positive indicator, reflecting longer retention of paying customers.
Interpretation
Example
If Average Paid Subscription Churn rate = 12
Paid Subscription Lifetime = (1/12) x 100 = 8.33
Total lifetime of paid subscriptions calculated in months, segmented by Business Type.
Explanation of metric
This metric shows the average duration that paid subscriptions remain active, broken down by different Business Types (e.g., E-Commerce, SaaS, Ed Tech). The data is represented as a stacked bar chart for each Business Type during a specific period.
This metric is available with RS premium only. To use it efficiently, configure a custom field at the Customer resource level in Chargebee and map it to the Business Type field in RevenueStory. Contact your Customer Success Manager or contact support .
How it's measured
Average Lifetime of a Paid Subscription by Business Type
= [1/(Average Paid Subscription Churn Rate per business Type) x 100]
Paid Subscription Churn Rate = [(Number of Paid Subscriptions CANCELLED) / (Total Number of paid Subscriptions at the beginning of period)] x 100
Reading
An upward trend in the Average Lifetime of a Paid Subscription by Business Type is a positive indicator, showing that specific types of businesses are retaining paid subscriptions for longer periods.
Interpretation
Example
In a given period, for an E-Commerce business:
Average Paid Subscription Churn Rate: 12% per year
Paid Subscription Lifetime by Business Type = [(1/12) x 100 ] = 8.33 years
Average recurring revenue earned from a subscription, including both unpaid and paid subscriptions.
Explanation of metric
This metric provides a point-in-time indicator of the average monthly revenue generated from all subscriptions, regardless of their status (free or paid). It helps in understanding how much revenue, on average, is generated from each subscription.
Average Revenue Per Subscription (ARPS) is often used interchangeably with Average Revenue Per Account (ARPA) and Average Revenue Per Unit (ARPU).
How it's measured
Average Revenue Per Subscription
= [(Total MRR)/ (Total ACTIVE Subscriptions)]
This metric includes only active subscriptions
Reading
An upward trend in Average Revenue per Subscription is a positive indicator, signifying that each subscription is generating more revenue.
Interpretation
Example
In a given period:
Total MRR (Free & Paid): $50,000
Number of Active Subscriptions: 1200
Average Revenue Per Subscription = (50,000/1200) = $41.66
Average recurring revenue earned from a new paid subscription.
Explanation of metric
This metric provides a point-in-time indicator of the average revenue generated per new paid subscription activated during a specific period. It focuses on the revenue contribution of newly acquired subscriptions, excluding reactivations.
How it's measured
Average Revenue per New Paid Subscription
= [(MRR of Newly Activated Subscriptions)/ (Number of Activations during the period)]
Reading
An upward trend in Average Revenue per New Paid Subscription is a positive indicator, suggesting that new customers are generating more revenue on average.
Interpretation
Example
In a given period:
New Subscriptions for Plan A ($10/month): 15
New Subscriptions for Plan B ($20/month): 25
MRR of Newly activated subscriptions = (15X10)+(25X20) = $650
Number of Activations during the period = (15+25) = 40
Average Revenue per New Subscription = (650/40) = $16.25
Average recurring revenue lost from a canceled paid subscription.
Explanation of metric
This metric provides a point-in-time indicator of the average revenue lost per churned (i.e., canceled) subscription during a specific period. It focuses on the revenue impact of canceled subscriptions.
How it's measured
Average Revenue Lost per Churned Subscription
= [(Cancellation MRR)/(Number of Churned Subscriptions)]
Reading
A downward trend in Average Revenue Lost per Churned Subscription is a positive indicator, suggesting that the revenue impact of churned customers is decreasing.
Interpretation
Example
In a given period, 15 Customers from Plan A ($10/month) and 25 Customers from Plan B ($20/month) unsubscribe.
Average Revenue per Churned Subscription would be calculated as:
Cancellation MRR = (15X10)+(25X20) = $650
Number of Churned Subscriptions = (15+25) = 40
Average Revenue per Churned Subscription = 650/40 = $16.25
Total quantity associated with subscriptions, including unpaid subscriptions.
Explanation of metric
This metric shows the aggregated quantity of each plan or add-on for each subscription, particularly in cases where a quantity-based pricing model is used. It provides insight into the total volume of products or services that subscribers are utilizing during a specific period.
How it's measured
Total Subscription Quantity
= Total number of subscriptions ACTIVE during the period.
Reading
An upward trend in Total Subscription Quantity is a positive indicator, reflecting an increase in the overall number of subscriptions.
Interpretation
Example
In a given period:
The total quantity of plans associated with active subscriptions during the period, segmented by plan.
Explanation of metric
This metric provides a detailed breakdown of the total quantity of each plan that is actively subscribed to by users. It uses a stacked bar chart to illustrate the quantity associated with each plan, offering insight into the distribution and volume of subscriptions across different plans.
How it's measured
Total Subscription Quantity by Plan
= The total quantity of plans associated with active subscriptions segmented by the plan.
Reading
An upward trend in Total Subscription Quantity by Plan is a positive indicator, showing an increase in the number of subscriptions for specific plans.
Interpretation
Example
In a given period:
The total quantity associated with subscriptions, including unpaid subscriptions, segmented by Product.
Explanation of metric
This metric tracks the total number of subscriptions in the ACTIVE state, segmented by product or addon. It provides insights into the distribution of quantities across different products or addons, using a chart for visualization.
How it's measured
Total Subscription Quantity by Product
= Total number of Subscriptions per plan/addon
Reading
An upward trend in Total Subscription Quantity by Product is a positive indicator, reflecting an increase in the number of subscriptions for specific products.
Interpretation
Example
In a given period:
The total number of new paid subscriptions acquired during a specific period.
Explanation of metric
This metric tracks the number of new paying subscriptions added during the period. It includes conversions from free subscriptions to paid plans as well as brand-new subscriptions that are activated in paid plans. A trend line visualizes this data, and a point in time KPI shows the New Paid Subscriptions for the current period, along with the variance and percentage change compared to previous periods.
How it's measured
Total New Paid Subscriptions
= Count of Paid Subscriptions created during the period
Includes conversions from IN TRIAL to Paid and future scheduled activations.
Reading
An upward trend in Total New Paid Subscriptions is a positive indicator, reflecting the successful acquisition of new paying customers.
Interpretation
Example
In a given period, 10 new subscriptions were created. This figure indicates the number of new paying customers acquired during that period.
The total number of newly activated paid subscriptions segmented by Customer Type.
Explanation of metric
This metric tracks the number of new paying subscriptions acquired during the period, segmented by Customer Type. It includes conversions from free to paid subscriptions and new subscriptions activated in paid plans. A stacked bar chart visualizes this data, showing the distribution across different customer types.
How it's measured
Total New Paid Subscriptions by Customer Type
= Total number of New paid subscriptions created during the period per Customer Type.
Includes conversions from IN TRIAL to Paid and future scheduled activations.
Reading
An upward trend in Total New Paid Subscriptions by Customer Type is a positive indicator, showing an increase in the number of new paying customers across specific customer segments (e.g., SMB, Enterprise, or Mid-Market).
Interpretation
Example
In a given period:
Total Signups: 700
New Paid Subscriptions by Customer Type: 500
This example shows that 500 new paid subscriptions were segmented by various customer types out of the total signups, indicating the effectiveness of customer targeting strategies.