ARPU Calculator

Revenue ÷ paying accounts for the same slice and period your analytics export uses.

Overview

Use when customer counts grow but revenue looks stuck—ARPU highlights mix shift to cheaper plans. Everyone must agree which accounts sit in the denominator.

When to use this calculator

Rule of thumb

When trials linger in the denominator, ARPU can look artificially low—or high—depending how you classify them.

Terms used in this calculator

ARPU / ARPA
Average revenue per paying logo or seat in the slice you grouped.
MRR
Monthly recurring revenue: paying subscribers times the recurring monthly revenue you attach to each after any annual-to-monthly split you use.

Calculator

Average revenue per user $49.00

Results are simplified estimates for educational purposes only and should not be treated as financial, accounting, legal, or tax advice. See our disclaimer for details.

Formula

Total recurring revenue ÷ number of paying customers (or ARPU field equivalents in data).

Example calculation

Using the default example values from the JSON seed for this tool:

Total revenue (period)
20580
Number of customers
420

Result: $49.00 (Average revenue per user)

How to interpret this result

Average revenue per account—here, total recurring revenue divided by paying customers in the slice.

Define whether trials or paused accounts are in the denominator.

Great for spotting mix shift even when logo count grows.

Common mistakes

  • Dividing revenue by all signups instead of paying customers.
  • Mixing product lines with wildly different pricing in one ARPU.
  • Including one-time professional services in “recurring” ARPU without labeling it.

What to do next

Split plans or cohorts externally if ARPU hides mix shift underneath flat customer counts.

How to improve this result

  • Track ARPU by plan tier when mix shifts mask pricing power.
  • Exclude paused trials from paying-base denominators if they distort trends.
  • Watch usage-based overages—they can lift ARPU without “raising prices.”

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FAQ

Trials in denominator?
Usually no—unless you explicitly say "all active accounts" including paused.
Does ARPU include discounts?
Yes if revenue is net of discounts in your export.
Why ARPU up but NRR down?
Smaller base or churned whales can distort each metric differently—open both.
B2B vs B2C blended?
Segment when deal sizes differ by an order of magnitude.
Compare to LTV?
ARPU is spot; LTV stretches horizon with churn and margin—different questions.

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