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What is NRR?

Net Revenue Retention is the percentage of MRR you keep from existing customers, including expansion. It accounts for everything — churn, contraction, and expansion. It answers: “Is my existing customer base growing or shrinking?” NRR can be above 100%. That means expansion is bigger than churn + contraction.

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How to Calculate It

NRR = Retained MRR (including expansion) / Previous period MRR × 100
Example:
  • MRR from existing customers last month: $10,000
  • MRR retained after churn, contraction, and expansion: $10,800
NRR = $10,800 / $10,000 × 100 = 108%

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Why It’s Useful

NRR above 100% means you’d grow even without new customers. It’s the single best measure of product-market fit and long-term business health.
  • Above 120% — Excellent. Strong expansion revenue.
  • 100–120% — Good. Expansion offsets losses.
  • Below 100% — Your existing customer base is shrinking.
For retention without expansion, see GRR. Bigdelta calculates this automatically from your billing data.