Outcome Metrics

The total predictable revenue from active subscriptions, normalized to a monthly value.

The annualized value of recurring revenue. ARR represents the yearly run rate of subscription revenue.

Average monthly recurring revenue per customer.

The month-over-month percentage change in MRR.

MRR generated from brand new customers acquired in the period.

Additional MRR from existing customers through upgrades, add-ons, seat increases, or price increases.

MRR lost from customers who cancelled their subscriptions.

MRR reduction from existing customers who downgraded but didn't churn.

MRR from existing customers that renewed at the same amount — no expansion, contraction, or churn.

The net change in MRR after accounting for all movements.

The percentage of revenue retained from existing customers over a period, including expansion, contraction, and churn. Also known as Net Dollar Retention (NDR).

The percentage of revenue retained from existing customers, excluding expansion revenue. Also known as Gross Dollar Retention.

The percentage of customers lost in a period. Also called customer churn or logo churn.

The percentage of MRR lost to churn and contraction in a period. Also called MRR Churn Rate.

Revenue minus cost of goods sold (COGS), as a percentage of revenue. Measures profitability after direct delivery costs.

A heuristic that balances growth and profitability. A healthy SaaS company's growth rate plus profit margin should equal 40% or more.

The percentage of customers retained over a period.

Expansion MRR as a percentage of beginning MRR.

The percentage of contracts renewed at term.

The percentage of time the service is operational.

Percentage of time SLA commitments were met.

Recognized revenue according to accounting standards.

Total contract value signed in a period.

Amounts invoiced in a period.

Total revenue divided by headcount.

Operating income as a percentage of revenue.

Earnings before interest, taxes, depreciation, and amortization as a percentage of revenue.

Net income as a percentage of revenue.

Cash generated from operations minus capital expenditures.

FCF as a percentage of revenue.

Closed revenue attributed to marketing efforts (first-touch attribution).

Percentage of customers who complete the onboarding program.

Customer satisfaction with the onboarding experience.

Percentage of onboarded customers who become actively engaged.

Percentage of customers still active 30 days after onboarding completion.

Churn rate segmented by onboarding characteristics.

Percentage of partners who leave or become inactive.

Revenue from deals originated by partners.

Revenue from deals where partners were involved (but may not have originated).

Partner revenue as percentage of total revenue.

Year-over-year growth in partner-sourced revenue.

Average revenue per active partner.

Revenue transacted through marketplace (AWS, Azure, etc.).

ARR divided by total headcount.

Percentage of employees who left in a period.

Turnover due to employee choice (resignations).

Voluntary departures of high performers.

Percentage of workforce from underrepresented groups.

Representation at manager+ levels.

Percentage of new users/accounts that reach the activation milestone.

Percentage of users who return on day N after signup.

Retention tracked by signup cohort over time.

Percentage of roadmap items completed in the period.

Revenue from professional services (implementation, consulting, training).

Services revenue minus direct delivery costs.

Percentage of projects delivered by committed date.

Percentage of projects delivered within budget.

Customer satisfaction with services engagement.

The annualized value of a contract, normalizing multi-year deals to a single year. Also used to describe average deal size when aggregated.

The percentage of quota achieved by a rep or team.

Percentage of tickets meeting FRT SLA target.

Percentage of tickets resolved within SLA timeframe.

Customer rating of support interaction.