Calculate your Net Revenue Retention (NRR) below by providing your MRR at the start and end of the period, expansion MRR, and churned MRR.
Net Revenue Retention (NRR) is the percentage of recurring revenue retained from existing customers over a specific period, including expansions, contractions, and churn. It is a key metric for SaaS companies.
NRR is calculated by adding the MRR at the end of the period and expansion MRR, subtracting churned MRR, and then dividing by the MRR at the start of the period. The result is multiplied by 100 to get a percentage. The formula is: NRR = ((MRR at End of Period + Expansion MRR - Churned MRR) / MRR at Start of Period) * 100
NRR helps businesses understand their ability to retain and grow revenue from existing customers. A higher NRR indicates that the company is successful in retaining customers and expanding their revenue over time.
Some strategies for increasing NRR include focusing on customer success, offering upsell and cross-sell opportunities, reducing churn through proactive customer engagement, and continuously improving the product to meet customer needs.