Expansion Rate

Additional revenue from existing customers, including upsell and cross-sell, as a share of starting revenue.

Advanced MetricsTerm 41 / 81

Formula

Expansion rate = Additional MRR from existing customers ÷ Starting MRR × 100

In practice

Expansion is the most profitable way to offset losses, because it carries no acquisition cost. Check whether your pricing lets revenue grow as the customer grows.

Once the terms are clear, build the system.

Let’s pin down which metrics your company should watch and which lever to pull first.

Partner Form

↑ All terms