NRR is tanking. The “North Star” is falling!
Time to panic? Yes.
Unless you understand what’s really going on.
NRR Defined
Net Revenue Retention – NRR – is the percentage of revenue retained from existing customers in a defined time period, including Expansion, Contraction, and Churn. Also called Net Dollar Retention or NDR.
When NRR is going up, it’s a great metric that everyone wants to talk about.
When it’s going down, it’s a lagging indicator that’s useles