Marketing, sales and customers

Monthly recurring revenue (MRR)

  • Marketing, sales and customers

Definition

The predictable revenue a subscription business earns each month.

Also called

MRR, Monthly recurring revenue

Example

1,000 subscribers paying €30 a month gives MRR of €30k.

For your role

Choose your role to see what this term means in your work.

Why it matters

It is the heartbeat of a subscription business.

Where it is used

Subscription business dashboards and board reports.

How to calculate it

Number of subscribers × average monthly price

Worked example

1,000 subscribers paying €30 a month gives MRR of €30k.

Definitions vary. Discounts, annual contracts and usage charges are handled differently between companies. Check how your organisation calculates it.