Net Revenue Retention (NRR)

Net revenue retention measures the revenue development within a fixed, defined cohort of existing customers over a fixed period (typically 12 months), including up-/cross-sells, price adjustments, downgrades and churn.

An NRR of >100% shows that revenue from existing customers is growing on a net basis, which is a central quality feature of a SaaS business model and may justify an above-average valuation.