Net Revenue Retention measures revenue retained from existing customers including expansion. Learn how NRR fits into SaaS KPI trees.
Net Revenue Retention (NRR) measures the percentage of recurring revenue retained from existing customers over a period, including expansion and contraction. NRR = (Beginning MRR + Expansion - Contraction - Churn) ÷ Beginning MRR × 100. An NRR above 100% means existing customers are generating more revenue over time. In a KPI tree, NRR is a critical branch that separates existing-customer health from new-customer acquisition.