Join our newsletter for the latest in SaaS By subscribing you agree to receive the Paddle newsletter. Unsubscribe at any time.Why gross margin is important and how to calculate it What is service revenue and how to calculate it User engagement: How to measure & analyze Why has Paddle charged...
Net revenue retention (NRR): NRR measures the revenue retained from existing customers over a given period, factoring in expansions, contractions, and churn. An NRR over 100% indicates revenue from existing customers is growing, which is a sign of ARR health. Industry leaders often achieve an ...
What is net dollar retention (NDR)?Net dollar retention (NDR), also referred to as net revenue retention (NRR), tells you about the value your customers perceive your SaaS product to have. Are they expanding to take on more products or are they contracting their usage of your product and...
What Is Net Dollar Retention (NDR)? Net dollar retention (NDR), also called net revenue retention (NRR), measures the percentage of your revenue that you’re able to maintain from existing customers, inclusive of expansion revenue. Software as a service (SaaS) companies often track and report...
NRR While annual recurring revenue (ARR) and MRR are similar metrics, the difference between ARR and MRR lies in their time periods (yearly revenue vs. monthly revenue). ARR offers insight into your company's recurring revenue on a macro-scale, compared to MRR, which is calculated on a ...
SaaS marketing is different because you're not making a one-off sale. In this model, you need specific marketing skills to create lifetime value for your customer. For instance, if you're marketing your product through a subscription-based model, you will need to show your customers that yo...
What is Total Addressable Market? Total Addressable Market or TAM refers to the total market demand for a product or service; the overall revenue opportunity available in a marketplace for a product or service. In other words, it’s the eagle-eye view of where any new product or service wi...
Net revenue retention (NRR) is the percentage of recurring revenue you obtain from customers within a specific timeframe. It takes everything into account, including both cancellations or downgrades and upgrades or cross-sells. This metric measures GRR plus the additional retained revenue that comes...
It can even become a crucial part of the UX, like in Uber's case: Trying your luck via email can help as well. Don't be afraid to attach that incentive in there; it's your business on the line! 8- Get the right people on the case The monthly average churn rate for SaaS is 3...
In this guide, we explain what an MoR is, how the MoR model works, and what businesses need to consider when choosing a merchant of record for SaaS. Introduction What is a Merchant of Record? How Does the Merchant of Record Model Work? Benefits of Using a Third-Party MoR Is ...