Net Revenue Retention & Expansion Calculator
See whether expansion from your existing customers outweighs the revenue you lose to churn and downgrades.
How the Net Revenue Retention Calculator Works
For a store with subscriptions, memberships, or repeat plans, growth has two sources: new customers and more revenue from the customers you already have. Net revenue retention isolates the second one. It answers a simple question: if you added no new customers this month, would your recurring revenue be higher or lower than at the start?
Enter your starting monthly recurring revenue, the extra revenue from upgrades and add-ons, the revenue lost to cancellations, and the revenue lost to downgrades. The tool calculates net revenue retention, gross revenue retention, and your net monthly growth rate from existing customers. The card is green at 100% or more, blue from 95% to just under 100%, and red below 95%.
Key Formulas Behind This Tool
- Ending MRR (Existing Customers): Starting MRR + Expansion MRR - Churned MRR - Downgraded MRR
- Net Revenue Retention (%): (Ending MRR / Starting MRR) x 100
- Gross Revenue Retention (%): ((Starting MRR - Churned MRR - Downgraded MRR) / Starting MRR) x 100
- Net Monthly Growth Rate (%): NRR - 100%, or Net MRR Change / Starting MRR x 100
- Churn Rate (%): (Churned MRR / Starting MRR) x 100
- Expansion Rate (%): (Expansion MRR / Starting MRR) x 100
Frequently Asked Questions (FAQ)
What is net revenue retention?
Net revenue retention (NRR) shows how much recurring revenue you keep from the same customers over a period, after counting upgrades, add-ons, downgrades, and cancellations. An NRR above 100% means expansion more than offsets what you lose.
What is the difference between NRR and GRR?
NRR includes expansion revenue. Gross revenue retention (GRR) ignores expansion and counts only losses from churn and downgrades, so it can never exceed 100%. GRR shows how leaky the base is, while NRR shows whether growth from existing customers covers the leak.
Should new customers be included?
No. Both metrics are measured on the customers who were already paying at the start of the period. Revenue from customers who joined during the period belongs in a separate new business figure, so the calculator excludes it.
What is a good NRR?
This tool treats monthly NRR of 100% or more as healthy, 95% to 100% as a warning, and below 95% as a problem. Annual figures use different benchmarks, so compare like with like. Always judge your numbers against your own category and history.
How do I raise NRR?
Reduce churn with better onboarding and win-back flows, and increase expansion with upgrades, add-ons, bundles, and price tiers. For subscription boxes, the Subscription MRR and Churn Calculator shows how churn changes your lifetime value.