Average revenue per paying user (ARPPU) is a non-GAAP metric used to assess the average revenue generated from a paying customer. The metric is typically calculated on a monthly or yearly basis. Although similar to average revenue per user (ARPU), the fundamental difference with ARPPU is that the calculation of the metric only involves active paying customers and not the company’s entire customer base. As the name suggests, ARPC is the average revenue generated from each customer per month (or per year). Average Revenue Per Account (ARPA) This calculator assumes the length of time that a customer will stay with you (calculated from monthly churn) and uses that to work out what your average account is worth over its lifetime, based on your current MRR and the number of accounts that comprise it. You’ll also commonly hear average revenue per account referred to as average revenue per user, average revenue per unit, or average revenue per … This is a term used for measuring revenue as generated per account on monthly or annual basis. Remember: every account, large or small, is an opportunity to cross sell and increase your book of business if you are viewed as a trusted risk consultant! Learn more about the author, Ashley Correll. Contrast this with profitable customers. Key accounts, for instance, are high-value accounts with deep pockets, so they naturally spend more than other accounts. What is Average Revenue Per Account (ARPA)? However, it is more commonly abbreviated as ARPA. Average revenue per account. Average revenue per unit is a metric used by companies that offer subscription-based products and services, such as mobile phone carriers and Internet service providers. Within this group is a sub-group we call the super-profitables. The average fee per account in banks has risen from a low of $50.46 in 2011 to a high of $59.72 in 2015. The average revenue contribution is $1,650. Average Revenue per Account (sometimes known as Average Revenue per User or per Unit), usually abbreviated to ARPA, is a measure of the revenue generated per account, typically per year or month. The average revenue per account (ARPA) is the average MRR or ARR generated per account. Now lets take a look at Average Revenue Per Customer (ARPC), which is a pretty self-explanatory metric. Average Revenue per Account is also called Average Revenue per User or per Unit sometimes. Their average balance is $8,000, the average monthly debit swipes are 15, 54 percent have more than one DDA, 60 percent have a savings account, 30 percent have a loan and 20 percent have both. By implementing the above recommendations, your average revenue per account and job satisfaction will improve substantially. An easier way to calculate it, is using the ARPA. What is ARPC? The culprit is a fairly stable total fee income paired with a decrease in the number of accounts in banks over that time (659.5M accounts in 2010 vs. 579.2M accounts in 2015). Rather than blindly guessing account expenditures, however, you should consider tracking your B2B company's Average Revenue Per Account (ARPA). Average Revenue per Account (sometimes known as Average Revenue per User or per Unit), usually abbreviated to ARPA, is a measure of the average revenue generated per account, typically per year or month. Once you know the average revenue per account (some times called average revenue per user), all you should do is multiply the total number of paying customers by the average amount all of those customers are paying you each month. It’s also known as Average Revenue Per User (ARPU) or Per Customer (ARPC). However, there might be some differences in the results, because a single user or customer can have more than one account. 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