SaaS

Gross Revenue Retention vs Net Revenue Retention

GRR keeps the lens on churn and downgrade dollars before you count upsells. NRR folds expansion back—both answer different questions on the same revenue base.

Why founders keep both

NRR can look fine while downgrade dollars leak—GRR hides upsell optimism on purpose.

Open both before you conclude health.

Definitions bite

How you tag churn needs to align with Finance or comparisons break quarter to quarter.

Count expansion only how your ledger defines it.

Operational follow-through

Add quick ratios or churn dollars when contractions swing wildly—even if logos look calm.

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