What is Paid Subscription Lifetime metric in RevenueStory?

Modified on: Wed, 1 Sep, 2021 at 5:36 PM

An estimate of the total value of a paid subscription through its lifetime.
Explanation of metric

This is the average lifetime of a paid subscription in months. It is calculated as the inverse of average paid subscription churn for the last three months.

Subscription lifetime is measured as an inverse of the last 3 months churn average.

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Interpretation

This metric indicates how long your customers stay with you on average. Every month, whenever a customer stays with you, it comes as additional revenue. You can grow this number by controlling your churn. Subscription lifetime can also be calculated for the overall customer base. However, in this case, it is done only for paid subscriptions. Churn is usually higher in the non-paying customer segment. Hence overall subscription lifetime could be misleading.

Click here to read about other metrics. 

M
Monica is the author of this solution article.

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