Net Revenue Retention (NRR)
01 Definition
Net Revenue Retention (NRR) meaning: Revenue kept from existing customers over time, including expansion and after losses.
Net revenue retention measures how recurring revenue from a fixed set of existing customers changes over a period, including upgrades and expansion but after downgrades and churn. It is shown as a percentage; above 100% means the group grew without any new customers.
Also called
Why it matters
How Net Revenue Retention (NRR) fits the work
NRR shows whether a business can grow by keeping and expanding current customers alone, which investors watch closely as a sign of durable, efficient growth.
In context
A SaaS firm holds a cohort worth $1,000,000; after $150,000 in upsells and $50,000 in churn, net revenue retention is 110%.
Practical note
NRR above 100% can mask heavy logo churn if a few accounts expand a lot; pair it with gross retention and customer counts for a full picture.