1. Order Management
  2. SaaS Metric Reporting
  3. Subscription Metrics
  4. Setting Up the Subscription Metrics SuiteApp
  5. Setting Up KPI Formulas and Currency Exchange Range Type
  6. KPI Formulas

KPI Formulas

Currently, only the CAC formula is editable. Users with the SaaS Metric permission can edit the formula.

KPI

Description

Formula

Applicable Filters

Editable

Revenue

Total recognized revenue in the period.

Credit – Debit

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

No

Growth Rate (MRR/ARR)

Total percentage growth during a specified time frame.

(Sum (Ending MRR Balance – Beginning MRR Balance) ÷ Sum (Beginning MRR Balance)) × 100.

Note:

Following are the formulas for MRR and ARR growth rate.

  • Only for Beginning MRR

    Revenue month end date = Period starting month end date + filters

  • Only for Ending MRR

    Revenue month end date = Period ending month end date + filters

  • All filters applicable

    If numerator value is zero = 0 % (result)

    If denominator value is zero = Not Applicable (result)

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

No

Net Revenue Retention (NRR)

Percentage of recurring revenue retained from existing customers, including upsells and downsells.

((Sum (Ending MRR Balance) – Sum (New MRR)) ÷ Sum (Beginning MRR Balance)) × 100

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

No

Gross Revenue Retention (GRR)

Percentage of recurring revenue retained from existing customers, excluding upsells.

((Sum (Beginning MRR Balance) – Sum (Downsell MRR + Churn MRR)) ÷ Sum (Beginning MRR Balance)) × 100

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

No

Churn Rate

Percentage of recurring revenue lost due to churn and downsell.

(Sum (Churn MRR + Downsell MRR) ÷ Sum (Beginning MRR Balance)) × 100

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

No

Total Contract Value (TCV)

Total value of all contracts, including renewals and new bookings.

Sum (Bookings)

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

N

Lifetime Value (LTV)

Estimated total revenue from a customer over their lifetime.

(Sum (Ending MRR Balance) ÷ Sum (Customers) x ((Revenue – Sum (Debit – Credit)) ÷ Revenue)) ÷ (Sum (Churn MRR + Downsell MRR) ÷ Sum (Beginning MRR Balance))

Note:

Sum (Debit – Credit). This

refers to COGS accounts

  • Class

  • Customer

  • Department

  • Item

  • Location

  • Subsidiary

No

Customer Acquisition Cost (CAC)

Average cost to acquire a new customer.

Sum(0.3(Debit –Credit)) ÷ New customers)

Subsidiary

Yes

CAC Payback Period

Number of months it takes for a company to recover its customer acquisition cost (CAC) from the gross profit generated by a new customer.

CAC ÷ (Sum(New MRR) / Count(distinct New Customers)) × ((Revenue – Sum (Debit – Credit)) ÷ Revenue))

Note:

Sum (Debit – Credit) – Refers to COGS accounts

Subsidiary

No

LTV/CAC Ratio

Measures the relationship between the lifetime value (LTV) of a customer and the cost to acquire that customer (CAC)

LTV ÷ CAC

Filters applicable as per LTV and CAC

No

To edit the CAC formula:

  1. Log in to NetSuite.

  2. On the SaaS 360 Dashboard tab, go to Setup, and click View.

  3. On the KPI Formulas subtab, click the edit icon beside Customer Acquisition Cost (CAC).

  4. In the Edit Formula popup window, select a dataset.

  5. Click Save.

For more information, see SaaS Sales and Marketing Expenses Dataset.

Related Topics

General Notices