Net MRR Movements reports the cumulative (net) effect of all changes a customer makes to their subscriptions.
To analyze all MRR changes per subscription, see MRR Movements.
TL;DR
The Net MRR Movements chart groups each customer’s MRR movements into a single net MRR movement whose value is the combined (net) increase (or decrease) in MRR across all of the customer’s subscriptions. It gives you insight into a customer’s overall MRR, instead of the individual MRR changes to a subscription.
MRR Movements vs. Net MRR Movements
In order to use the Net MRR Movements chart effectively, it’s important to understand the difference between MRR movements and Net MRR movements.
ChartMogul uses MRR movements to track and classify changes to an individual subscription’s monthly recurring revenue (MRR). The value of each movement is the net change (increase or decrease) in the subscription’s MRR which ChartMogul categorizes as either New Business, Expansion, Contraction, Churn, or Reactivation.
Net MRR movements, on the other hand, focus on the cumulative (or net) impact of all subscription changes made by an individual customer in a specific period of time (report interval). ChartMogul combines all of a customer’s MRR movements into a single Net MRR movement whose value is the combined (net) increase or decrease in MRR across all of the customer’s subscriptions. The resulting Net MRR movement is categorized as either New Business, Expansion, Contraction, Churn, Reactivation, or Subscribed & Churned. For specific definitions of each Net MRR movement type, see Chart Data.
| MRR movements | Net MRR movements | |
|---|---|---|
| Description | Changes to a subscription’s MRR | Changes to a customer’s MRR |
| Calculation | The net change (increase or decrease) in a subscription’s MRR. | The cumulative (net) change in a customer’s MRR in a given report interval. |
| Multiple MRR changes for a given customer in a given report interval… | … are each reported as an individual MRR movement. | … are reported as a single Net MRR movement. |
Chart Notes
- Net MRR Movements has an additional MRR movement type: Subscribed & Churned. This is for customers who both start and cancel a subscription within a given report interval.
- ChartMogul calculates Net MRR movements once per day. Therefore, the data displayed in this chart may be out-of-date by up to one day.
Calculation
ChartMogul calculates the value of each Net MRR movement type as follows:
Net MRR Movements is configured by selecting a reporting period and measurement interval to create a series of report intervals. Then, ChartMogul combines all MRR movements for each customer in each interval. The net effect is calculated as one movement type in each interval using the following method:
- Customers who have a New Business or Reactivation movement are reported as such, unless they cancel their last subscription (i.e., churn) within the same interval, in which case, they’re reported as Subscribed & Churned.
- Customers who cancel their last subscription are reported as Churn (as long as they didn’t start or reactivate the subscription in the same report interval).
- Existing customers are classified as either Expansion or Contraction, depending on whether the net change in MRR is either positive or negative.
The result is one Net MRR movement for each customer within a report interval in which at least one of their subscriptions had a change.
For example, a customer has the following MRR movements:
- New Business on December 1, 2021
- Expansion on January 3, 2022
- Expansion on January 17, 2022
- Contraction on January 28, 2022
- Expansion on February 7, 2022
- Contraction on February 22, 2022
- Expansion on March 2, 2022
- Expansion on March 16, 2022
Using MRR Movements with the reporting period of December 1, 2021 to March 31, 2022, ChartMogul reports each movement in each interval.
Using Net MRR Movements with the same reporting period, ChartMogul groups the customer’s movements so they are reported for one movement in each interval. For example, the customer had net expansion in January 2022, so they are reported for one Expansion movement.
Isolating movements
Click the eye icon in the Chart Data table to configure the individual MRR movements visible in the chart. For example, create a chart showing only New Business:
Optionally, click Save Chart to create a saved version of the modified chart.
Chart Data
The Chart Data table works differently than other charts. It provides the following breakdown:
| New Business | Customers who start their first subscription and do not cancel (i.e., churn) within a given report interval, regardless of whether they also experience a net increase (or decrease) in subscription MRR (e.g., as a result of a subscription upgrade) during the same report interval.
If the customer cancels all of, or their last remaining subscription (i.e., churns) within the report interval, they are instead classified as Subscribed & Churned. |
|---|---|
| Expansion | Existing customers who experience a net increase in subscription MRR in a given report interval. |
| Contraction | Existing customers who experience a net decrease in subscription MRR in a given report interval. |
| Churn | Customers who canceled all of, or their last remaining, subscription in a given report interval.
Should the customer have a New Business or Reactivation movement within the same report interval, they are instead classified as Subscribed & Churned. |
| Reactivation | Formerly paying customers (who had previously churned) who moved back on to a paid plan and did not churn within the report interval, regardless of whether they also experience a net increase (or decrease) in subscription MRR (e.g., as a result of a subscription upgrade) during the same report interval.
If the customer cancels all of, or their last remaining subscription (i.e., churns) within the report interval, they are instead classified as Subscribed & Churned. |
| Subscribed & Churned | Customers who both started (or reactivated) and canceled a subscription in the same report interval. |
| Net MRR | The sum of all Net MRR movements in the report interval. |
| Change | The change in Net MRR compared to the previous report interval. |
| Total MRR | The sum of MRR for all Active and Past due subscriptions at the end of the period. |
Next Steps
- View all MRR movements per subscription with MRR Movements.