Dollar Retention

Noun · Startup & VC

Definitions

  1. A revenue retention metric showing how recurring revenue from a customer cohort changes over time after accounting for churn, contraction, and sometimes expansion. It is a stronger business signal than customer counts alone.

    In plain English: A measure of how much revenue from existing customers is kept over time.

    Example: "Dollar retention stayed above 120 percent because expansions offset most churn."

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