ACV Growth Rate measures the percentage change in Average Contract Value over a specified period, serving as a critical indicator of your company's ability to extract increasing value from customer relationships. This metric reveals whether you're successfully moving upmarket, improving your value proposition, or effectively implementing pricing strategies. Unlike simple revenue growth, ACV Growth Rate isolates the per-customer value expansion, making it essential for understanding unit economics improvements and market positioning evolution.

ARR Growth Rate is the change in annual recurring revenue over a given period, typically represented in a percentage. Steadily increasing ARR growth rate year over year is usually indicative of product-market fit.

Abandoned Checkouts is an e-commerce metric that measures the value of all the abandoned orders (i.e., sum of the prices of all the items in those orders) before shipping and taxes. Abandoned Checkouts is an important metric for online businesses as it shows the value of customer orders that were not completed due to a variety of reasons. It helps reveal any potential issues in your checkout process, such as customer difficulty in filling out forms or selecting payment options, that are preventing customers from actually completing their purchases.

Account Balance represents the difference between debits and credits in an account on a company’s general ledger. If debits are larger than credits, the account has a net debit Account Balance. If Credits are larger than debits, the account has a net credit Account Balance.

Accounts Payable can be found on a company’s Balance Sheet or Statement of Financial Position as part of current liabilities. This account reflects short term obligations the company has to its suppliers for purchased goods and services on credit.

Accounts Receivable can be found on the Balance Sheet or Statement of Financial Position as part of current assets. This account reflects customer accounts that the company has invoiced for goods and services delivered. The amount is expected to be received based on the payment terms stated on the invoice within a year.

Advertising Costs is a broad expense category, which typically includes online, broadcast, print, outdoor, and direct mail efforts. Advertising can be used at various stages of the customer journey, from brand awareness and brand shaping, to highly targeted campaigns that are meant to engage existing customers.

Annual Contract Value (ACV) represents the normalised dollar amount an average customer contract is worth to your company over one year. Unlike other SaaS metrics such as Annual Recurring Revenue (ARR), there's less universal consensus on ACV's precise definition across the industry. Some companies include one-time charges like setup fees, implementation costs, or training in their ACV calculations, while others exclude these non-recurring elements to focus purely on the ongoing contractual commitment. This variability makes it essential for sales and finance teams to establish clear internal definitions and remain consistent in their calculations to ensure meaningful trend analysis and benchmarking. The metric serves as a crucial indicator of your company's market positioning, customer segmentation strategy, and overall business model effectiveness. ACV directly influences your go-to-market approach, sales team structure, customer success investments, and pricing strategy. Companies with higher ACVs typically employ different sales methodologies, longer sales cycles, and more comprehensive customer onboarding processes compared to those targeting lower ACV segments.

Annual Recurring Revenue (ARR) is the sum of all subscription revenue expressed as an annual value. For most companies, ARR is the sum of all new business subscriptions and upgrades (sometimes called expansion), minus downgrades (or contractions) and cancelled subscriptions. Though not a Generally Accepted Accounting Principle (GAAP) value, it's the Revenue equivalent used by every SaaS company. ARR is used interchangeably with Monthly Recurring Revenue (MRR).

Average Basket Size (ABS) is an e-commerce metric that tracks the average number of items sold per transaction. In other words, ABS measures the increase or decrease in the quantity of items purchased per transaction. It can also be used to calculate the Average Basket Value, which is the average cost of units placed in the basket.

Average Revenue Per Account (ARPA) represents the mean revenue generated from each customer account over a specific period, typically calculated monthly or annually. Beyond serving as a simple revenue indicator, ARPA functions as a critical strategic metric that reflects your product's value proposition, market positioning, pricing effectiveness, and customer segmentation strategy. It directly influences unit economics, growth sustainability, and competitive positioning while providing actionable insights into customer behaviour, expansion opportunities, and market penetration across different segments and growth stages.

Average Revenue Per User (ARPU) is a company's generated revenue that is averaged across all users and reported as a monthly or yearly value. ARPU is a top-level metric, that can easily be normalized and is often cited as a comparative measure between similar companies.