Subscription growth snapshot
A SaaS product has 320 customers at $19 ARPU, expects 54 new customers and estimates 4% monthly churn.
- Current customers: 320
- ARPU: $19
- New customers: 54
- Monthly churn: 4%
Subscriptions
Estimate monthly recurring revenue, churn impact and next-month MRR for a subscription product.
Start with conservative inputs, copy the result, then test a best-case and worst-case version. For production decisions, compare the estimate against actual accounting, analytics and payment data.
MRR measures recurring monthly revenue before one-time fees, refunds and payment timing differences. Modeling churn beside new customers shows whether growth is actually compounding or being absorbed by cancellations.
MRR = customers * ARPU. Next MRR = (customers - churned + new customers) * ARPU.
A SaaS product has 320 customers at $19 ARPU, expects 54 new customers and estimates 4% monthly churn.
Not always. Annual plans, failed payments, refunds, upgrades and billing timing can make cash collection different from MRR.
Churn reduces the customer base that creates recurring revenue. Even strong acquisition can look weak if cancellations are high.
For a more advanced model, include upgrades, downgrades and expansion separately. This MVP focuses on a simple customer count and ARPU scenario.