Your Ultra Insights report is a bi-weekly benefit of your ULTRA Membership where you receive metrics about your business and end customers. The report is mapped to show usable data to help you make business decisions. Below are some of the metrics we report, how they are shown, and how you can better leverage this data.
Customer retention metrics allow you to identify the number of retained customers your company has. This dashboard helps to build a baseline of metrics for your end customer churn. We measure the total value your customers deliver to you over a period. Most of the revenue in cloud business (subscription-based business) is derived from repeat customers, not from new ones. When you calculate the customer retention rate, you take proactive measures to reduce churn and determine whether your customers will remain loyal to you or leave.
To improve your customer engagement, you can further analyze this information and identify friction spots. You cannot measure the effectiveness of your customer retention strategy without retention metrics.
The average monthly churn rate for SaaS products is between 3 and 8%.
Here are some of the metrics we break out in your insights:
Annual Recurring Revenue (LC) - This is the value of recurring revenue you can expect annually if all existing continue to renew. LC stands for Local Currency.
Total Seats - Total number of paid seats for all end customers across all subscriptions.
Seat churn is a measure of the number of seats that have terminated over a period versus the number of seats that were active at the start of that period. If both seat churn and customer churn are high, this would indicate a need to review your renewal and retention strategies. A high seat churn in isolation could indicate a healthy upgrade motion (you must cancel seats to upgrade them).
Customer churn is a measure of the number of end customers that have terminated all subscriptions over time versus the number of active customers at period start. Customer churn is important in evaluating if there is a customer retention issue.
Net Sales LC
Total value of the orders placed through CMP includes new sales orders and billing orders in Local Currency.
This dashboard is focused on the cloud vendors you're purchasing through Ingram Micro Cloud Marketplace, the number of subscriptions, and the historical volatility of your customers.
Partner Install Base Analysis
Net Dollar Retention
Net Dollar Retention is a measure of retention and expansion. Annually, we take a snapshot of your Annual Recurring Revenue and then any changes throughout the year in Dollar Retention which is measured as a percentage. Terminated subscriptions and customers results in reduced Net Dollar Retention and new vendors into existing end customers increases the net dollar retention.
If all subscriptions are renewed and no new vendors, seats or end customers are added then NDR would remain 100%.
Gross retention is the purest measure of retention. This is measured as a percentage and it does not include expansion, except in the case of a SKU upgrade - new end customers or cross sell is considered. Gross retention is a measure of how much of your recurring revenue you retain over time. Gross retention cannot exceed 100% as you cannot retain more than 100% of what you started with.
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