Customer Lifetime Value (LTV) represents the total net revenue a business can reasonably expect to generate from a single customer account throughout the entire duration of their relationship. This metric goes beyond simple transaction analysis by incorporating customer retention patterns, purchasing frequency, and profit margins to provide a comprehensive view of customer economic value. LTV serves as a cornerstone metric for strategic decision-making, enabling businesses to optimise acquisition spending, prioritise retention efforts, and identify high-value customer segments that drive sustainable growth.

CSAT is a measure of the level of satisfaction that a customer has with a company’s products and/or services, most often provided by the customer as part of a survey. It is commonly used as an indicator of a customer’s loyalty to a company.

One of the most fundamental metrics, Customers is the total count of paying patrons of your business. Without paying customers there is no growth and no value in your business. To accurately assess your customer base, it's important to track new and returning customers as they play a different role in your business. New Customers refer to users who just signed up or made their first purchase with your company while Returning Customers are those who have already made a purchase in the past.

DAU/MAU Ratio (Daily Active Users to Monthly Active Users ratio) measures how active monthly users are on a daily basis. In other words, this engagement metric measures the number of days in each month that users performed an activity that qualifies them as active users. A higher DAU/MAU Ratio generally indicates high stickiness, meaning users consistently return to the app.

EBITDA Margin is a financial ratio that measures a company's earnings before deducting non-operating expenses as a percentage of revenue. The calculation excludes accounting expenses such as interest, taxes, depreciation, and amortization to give an overall view of operating profitability and cash flow generation capability.

Expansion Monthly Recurring Revenue (MRR) Growth Rate measures how quickly your existing customers are increasing their spending with you, expressed as a percentage of your total MRR base. This metric captures the velocity of revenue expansion from upsells, cross-sells, add-ons, and seat expansions within your current customer cohort. While typically reported monthly (e.g., "Our Expansion MRR Growth Rate was 4.2% in March"), it can also be annualised for strategic planning purposes (e.g., "We achieved a 65% annual Expansion MRR Growth Rate last year"). This metric is fundamentally different from simple expansion revenue totals because it contextualises growth against your entire revenue base, making it particularly valuable for benchmarking and forecasting as your business scales.

First Response Time (FRT) is the average amount of time an agent takes to provide an initial response to a customer inquiry or support ticket. The speed at which you acknowledge a customer's question is a reflection of your commitment to customer satisfaction and the maturity and efficiency of your call centre.

Goal conversions represent the successful completion of predefined actions that align with your business objectives and indicate meaningful user engagement with your website or digital platform. Unlike simple page views or clicks, goal conversions measure outcomes that directly contribute to your business success, such as form submissions, product purchases, newsletter sign-ups, or content downloads. Understanding goal conversions is essential for evaluating the effectiveness of your marketing campaigns, website design, and overall digital strategy.

Gross Monthly Recurring Revenue Churn Rate (Gross MRR Churn Rate) is the percentage of recurring revenue lost due to both cancellation and downgrades. Note that it is common to express this metric as a monthly rate, though it can also be expressed as Gross ARR Churn Rate.

Gross Margin is a profitability ratio that measures Gross Profit as a percentage of total revenue. Typically, it is calculated as Gross Profit divided by Revenue. This metric is a key indicator of a company's financial health and operational efficiency.

Gross Profit is the amount left over from total revenues after Cost of Goods Sold (COGS) has been deducted. COGS will typically include the cost of making and selling the product or the cost of services provided by the company.

Gross Revenue Retention (GRR) Rate is the percentage of recurring revenue retained from existing customers in a defined time period, including downgrades, and cancels. It does not include any expansion revenue. GRR is also commonly referred to as Gross Renewal Rate.