Glossary entry
GRR
Also known as Gross Revenue Retention
The percentage of revenue retained from existing customers, excluding any expansion. The 'bucket integrity' metric: NRR can be inflated by aggressive expansion masking churn; GRR shows the true churn rate. GRR above 90% = healthy retention. Below 85% = churn problem regardless of NRR optics.
01Definition
TLDR
The percentage of revenue retained from existing customers, excluding any expansion. The 'bucket integrity' metric: NRR can be inflated by aggressive expansion masking churn; GRR shows the true churn rate. GRR above 90% = healthy retention. Below 85% = churn problem regardless of NRR optics.
02Why it matters
Investors increasingly ask for GRR alongside NRR because NRR alone can hide a churn problem.
03Example
Worked example
$10M starting ARR → $9.2M retained (excluding any expansion) = 92% GRR. Healthy.
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