Net earnings or loss in monthly recurring revenue.
Explanation of metric
This is the net increase or decrease in monthly recurring revenue during the period after taking into account all the new, expansion, and churn MRR.
How it's measured
Net MRR Growth = (New MRR + Reactivations + Upgrades + Free-to-paid MRR + Resumed MRR)- (Cancellation MRR + Downgrades + Paused MRR)
Your Net MRR Growth considers new revenue, expansions, and contractions. There are three keys to ensure overall profitability - minimize churn, drive upgrades from existing customers, and add new paying customers. It shows you how fast your business is growing. If you have your Net MRR growing at anything over 10-15% month on month (your revenue doubles every 6 months), you should consider that your business is growing much effectively.
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