What is Net Revenue Retention (NRR)?

NRR measures the percentage of recurring revenue retained from existing customers over a specific period, accounting for upgrades, downgrades, and churn. It shows how sustainable your growth is without new acquisitions.

How do you calculate NRR?

NRR = [(Ending ARR from Existing Customers) / (Starting ARR from those same Customers)] × 100. Ending ARR = Starting ARR + Expansion - Downgrades - Churn.

What is a good NRR for SaaS?

For B2B SaaS, an NRR of 100% or higher is considered healthy (meaning expansion offsets churn). Top-tier enterprise SaaS companies often see NRR of 120% to 140%.

Why is NRR better than Gross Revenue Retention?

Gross Revenue Retention only looks at churn/downgrades. NRR gives a fuller picture of "Net" growth by including expansion revenue from upsells and cross-sells.

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Net Revenue Retention (NRR) Calculator

Measure revenue retention and expansion from your existing customer base.

Net Revenue Retention (NRR) Calculator

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