SaaS Metrics

The most important SaaS metrics and KPIs. Learn about what metrics and KPIs are best for you, vote, and contribute your own.

Lifetime Value to Cost of Acquisition Ratio

The Lifetime Value to Cost of Acquisition (LTV/CAC) Ratio tells you if the theoretical lifetime revenue you get from a customer is higher or lower than the sales and marketing costs needed to acquire that customer.

goal icon
user icon

Logo Churn

Logo Churn is the enemy of any subscription company. Logo Churn is the number or percentage of subscribers to a service that discontinue their subscription to that service in a given time period.

goal icon
user icon

MRR Growth Rate

Monthly Recurring Revenue (MRR) Growth Rate is the velocity at which MRR is being added to the business, expressed as a percentage. MRR Growth Rate is often cited as a monthly rate, but it's also possible to express it using an annual timeframe; for example, "we are targeting 10% MRR Growth for April", or "our MRR Growth Rate was 100% last year".

goal icon
user icon

Monthly Active Accounts

Monthly Active Accounts measures the number of unique accounts with at least one user who has interacted with an application or platform in a month. An active account may include one or more users, who may each have varying degrees of activity.

Monthly Active Users

Monthly Active Users are the number of unique users of an application or platform that have interacted with it in a month. This metric is used to track monthly user engagement. Monthly Active Users includes both new users and existing users who have interacted with the application.

goal icon

Monthly Recurring Revenue

Monthly Recurring Revenue (MRR) is the sum of all subscription revenue expressed as a monthly value. For most companies, MRR is the sum of all new business subscriptions and upgrades (sometimes called expansion), minus downgrades (or contractions) and cancelled subscriptions. Though not a Generally Accepted Accounting Principle (GAAP) value, it's the Revenue equivalent used by every SaaS company. MRR is used interchangeably with ARR.

Natural Rate of Growth

Natural Rate of Growth measures the speed at which your company grows, purely based on organic sources of growth. This includes organic signups and incremental recurring revenue started in product without sales involvement.

goal icon

Net Annual Recurring Revenue Added

Net Annual Recurring Revenue (ARR) Added is the net change of annual recurring revenue from new logo bookings, expansion bookings, downsell bookings, and churn during a period. This metric will let you evaluate your business from one time period to the next and understand how each component is affecting ARR.

user icon

Net Burn

Net Burn, often referred to as Burn Rate, is the amount a company is losing per month as they burn through their cash reserves. It occurs when a company’s operating costs are higher than their revenue. A company that is profitable and generating cash has a "negative Net Burn".

metric icon
goal icon

Net MRR Churn Rate

Net Monthly Recurring Revenue (MRR) Churn Rate is the percentage change in MRR due to expansions, cancellations and downgrades. A negative Net MRR Churn Rate occurs when expansions exceed downgrades and cancellations and is a strong positive indicator of company health. This metric is typically expressed as a monthly rate although it can also be an annual rate: Net Annual Recurring Revenue (ARR) Churn Rate.

goal icon

Net Revenue Retention Rate

Net Revenue Retention (NRR) Rate, also known as Net Dollar Retention (NDR), is the percentage of recurring revenue retained from existing customers in a defined time period, including expansion revenue, downgrades, and cancels. This churn metric gives a comprehensive view of positive as well as negative changes with respect to customer retention. A good NDR can range between 90% to 125%, based on target customer size.

goal icon

Payment Acceptance

Payment acceptance is the percentage of payments that are successful out of those payments that are attempted. In credit card language, this is often called the “authorization rate”. Failed payments are the menace of selling anything online and payment acceptance rates are significantly lower than buying something in-person.

metric icon
goal icon
user icon

Can't find what you are looking for?

Contribute a metric