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What is Expansion Rate?

Expansion Rate is the percentage of paying accounts that increased their subscription in a period. If you have 200 paying accounts and 30 of them upgraded, added seats, or bought add-ons, your expansion rate is 15%.

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How to Calculate It

Expansion Rate = Expanded accounts / Paying accounts × 100
Example:
  • Paying accounts: 150
  • Accounts that expanded: 18
Expansion Rate = 18 / 150 × 100 = 12%

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Why It’s Useful

It tells you how many of your existing customers are growing. A high expansion rate means your product naturally drives upgrades. A low rate might mean your pricing tiers aren’t well structured. Bigdelta calculates this automatically from your Expansion MRR and Paying Accounts data.