RevenueMetric 3 of 35

ARPUAverage Revenue Per User

Average monthly revenue per active customer.

Put this metric to work: explore FlowMRR's recurring revenue analytics to track revenue movements, retention and forecasts from your own account.

Here, and in FlowMRR, ARPU means monthly revenue per active customer, not per subscription or seat. Some B2B teams use ARPU for revenue per seat and ARPA for revenue per account; always disclose the denominator. Rising ARPU can reflect upsells or smaller customers churning; falling ARPU can reflect discounts or a shift toward smaller accounts.

Formula

ARPU = MRR ÷ Active Customers

Worked example

MRR $50,000 with 250 active customers → ARPU = $200/mo.

Illustrative comparisons

By segment

These unsourced ranges are illustrative scenarios, not measured industry benchmarks, percentiles or recommended targets. Their qualitative labels are editorial interpretations. Compare your own cohorts using the same segment, period, currency and measurement basis.

SMB

$50–$500

Mid-market

$500–$5,000

Enterprise

$5,000+

Why it matters

ARPU determines your go-to-market motion. Low ARPU (<$50) demands self-serve and product-led growth — you can't afford salespeople. Mid ARPU ($500+) opens inside sales. ARPU also caps your acceptable CAC: a $20 ARPU product can't sustain a $1,000 CAC.

Common mistakes

Calculating ARPU on revenue including one-off charges — inflates the number deceptively.
Not segmenting ARPU by plan — hides which tier is actually working.
Comparing your ARPU to a different ICP without adjusting expectations.

Track ARPU in FlowMRR