Key Metrics
Metrics are useful only when their definitions are clear. Use this page to align product, finance, sales, and customer success on what each number means.
Revenue metrics
| Metric | Definition | Watch for |
|---|---|---|
| MRR | Monthly recurring revenue from active recurring subscription lines. | Exclude one-time invoices and non-recurring setup fees unless your policy says otherwise. |
| ARR | Annualized recurring revenue, often MRR x 12. |
Do not mix contracted ARR and billed ARR without labeling. |
| Invoice total | Sum of issued invoice totals in a period. | Includes non-recurring revenue and may differ from MRR. |
| Paid revenue | Sum of completed payments in a period. | Timing depends on collection, not invoice issue date. |
| Accounts receivable | Posted invoice balance that has not been paid. | Review overdue and high-value balances. |
Subscription metrics
| Metric | Definition | Use |
|---|---|---|
| Active subscriptions | Subscriptions currently eligible for billing. | Revenue base health. |
| Past due subscriptions | Subscriptions with unpaid or failed payment state. | Recovery and churn risk. |
| Canceled subscriptions | Subscriptions that stopped or are scheduled to stop. | Churn analysis. |
| Expiring soon | Subscriptions approaching renewal or end date. | Customer success outreach. |
Payment metrics
| Metric | Definition | Use |
|---|---|---|
| Payment success rate | Successful attempts divided by total attempts. | Gateway and customer payment health. |
| Failed payments | Payment attempts that did not complete. | Dunning queue. |
| Refund amount | Money returned to customers. | Revenue leakage and customer issue analysis. |
Data quality notes
- Define whether metrics include test mode data.
- Label whether revenue is billed, collected, or contracted.
- Reconcile invoice totals to payment totals before finance reporting.
- Review credits and refunds separately from new revenue.