Calculator Inputs
Formula Used
Gross Retained MRR = Beginning MRR - Churned MRR - Contraction MRR
GRR = Gross Retained MRR / Beginning MRR × 100
Net Retained MRR = Gross Retained MRR + Expansion MRR + Reactivation MRR
NRR = Net Retained MRR / Beginning MRR × 100
Gross Revenue Churn = (Churned MRR + Contraction MRR) / Beginning MRR × 100
Net Revenue Churn = (Churned MRR + Contraction MRR - Expansion MRR - Reactivation MRR) / Beginning MRR × 100
Logo Retention = (Beginning Customers - Churned Customers) / Beginning Customers × 100
Annualized Retention = Period Retention Ratio ^ (12 / Period Months) × 100
New business MRR is shown for ending revenue context, but it is not included in GRR or NRR because retention isolates the starting customer base.
How to Use This Calculator
- Enter the period label and number of months covered.
- Fill in beginning MRR from the customer base at period start.
- Add expansion, contraction, churned, reactivation, and new business MRR.
- Enter beginning customers and churned customers for logo metrics.
- Set target GRR and target NRR benchmarks for variance tracking.
- Press Calculate Retention to show results above the form.
- Download the result set as CSV or PDF for reporting.
Example Data Table
| Item | Example Value | Explanation |
|---|---|---|
| Beginning MRR | $120,000.00 | Recurring revenue at the start of the month. |
| Expansion MRR | $9,000.00 | Upgrades and upsells from existing accounts. |
| Contraction MRR | $6,000.00 | Downgrade losses inside the retained base. |
| Churned MRR | $12,000.00 | Revenue lost from canceled subscriptions. |
| Reactivation MRR | $3,000.00 | Win-back revenue from returning customers. |
| New Business MRR | $15,000.00 | Shown in ending total MRR only. |
| Beginning Customers | 240 | Opening customer count for logo metrics. |
| Churned Customers | 18 | Accounts lost during the period. |
| Sample Output | GRR 85.00%, NRR 95.00% | Shows retained revenue after losses and expansion. |
Frequently Asked Questions
1. What does recurring revenue retention measure?
It measures how much starting recurring revenue stayed with you during a period. It highlights churn, downgrade pressure, and how much expansion offset those losses.
2. What is the difference between GRR and NRR?
GRR only tracks retained revenue after churn and contractions. NRR adds expansion and reactivation, showing whether your existing customer base grew or shrank overall.
3. Is new business included in retention?
No. New customer revenue is excluded from GRR and NRR because retention should isolate performance of the opening customer cohort, not fresh acquisitions.
4. Why track logo retention with revenue retention?
Revenue retention can look stable while account count falls. Logo retention adds customer-count context, helping you see whether retained revenue is concentrated in fewer accounts.
5. What does expansion coverage ratio show?
It compares expansion and reactivation revenue against churn and contraction losses. A value above 100% means growth fully covered leakage from the starting base.
6. Can NRR be greater than 100%?
Yes. NRR above 100% means expansion and win-backs from existing customers more than offset churn and downgrades, creating net growth from the starting cohort.
7. Why annualize retention?
Annualizing helps compare monthly, quarterly, and custom periods on a common basis. It is useful for planning targets, board reporting, and trend analysis.
8. What inputs matter most for accuracy?
Use clean MRR movement data, consistent customer definitions, and a clear reporting window. Misclassified upgrades, churn, or reactivations can distort retention metrics quickly.