Metrics library
Mantle uses a variety of metrics to help you understand your business and your apps, some of which you may be unfamiliar with. This library is designed to help you understand what each metric means and how it is calculated.
Monthly Recurring Revenue (MRR)
Monthly recurring revenue, or MRR, is an important metric for any subscription business. It’s a forward-looking metric that helps you understand how your business is performing and how it’s likely to perform in the future. It’s also a great way to understand how your business is growing and how that growth is changing over time.
Unless otherwise stated, you can assume that Mantle will amortize annual subscriptions over a 12 month period when calculating MRR.
New
New MRR is the total value of ne wsubscriptions added by new customers in a given period. For example, if a new customer subscribes to a $10/month plan, that would add $10 to your new MRR. Likewise, if a new customer subscribes to a $120/year plan, that would add $10 to your new MRR.
Reactivation
Reactivated MRR is the total value of subscriptions reactivated by existing customers in a given period. For example, a customer who was previously subscribed to a $5 per month plan and cancelled their subscription, but later re-subscribed to a $10 per month plan would add $10 to your reactivated MRR.
Expansion
Expansion MRR is the total value of subscriptions that have been upgraded by existing customers in a given period. For example, if a customer was subscribed to a $10 per month plan but later upgraded to a $20 per month plan, then your expansion MRR would increase by $10.
Cancelation
Canceled MRR is the total value of subscriptions canceled by existing customers in a given period. For example, if a customer was subscribed to a $10 per month plan cancels their subscription, that would be included in your canceled MRR.
Contraction
Contraction MRR is the total value of subscriptions that have been downgraded by existing customers in a given period. For example, if a customer was subscribed to a $20 per month plan but later downgraded to a $10 per month plan, then your contraction MRR would include an extra $10.
Frozen
Frozen MRR is the total value of subscriptions that have been marked as frozen by Shopify in a given period. Frozen MRR is essentially uncollectable MRR, and is a Shopify-specific metric which occurs when a merchant does not pay their Shopify bill.
Unfrozen
Unfrozen MRR is the total value of subscriptions that have been marked as unfrozen by Shopify in a given period. Unfrozen MRR is the sum of all MRR that was previously frozen by Shopify but has been unfrozen and is once again collectable.
Gross MRR churn
Gross MRR churn is the total of all lost subscription value in a given period. This includes any canceled, downgraded, or frozen subscriptions.
Gross MRR churn = (Canceled MRR + Contraction MRR + Frozen MRR)Net MRR churn
Net MRR churn is the total of all lost subscription value in a given period, less any reactivated or upgraded subscriptions.
Net MRR churn = Gross MRR churn - (Reactivated MRR + Expansion MRR + Unfrozen MRR)Net churn rate
Net churn rate is the percentage of MRR lost in a given period from existing customers, less any reactivated or upgraded subscriptions.
Net churn rate = (Net MRR churn / MRR at the beginning of the period) x 100Net new MRR
Net new MRR is the total value of all added MRR in a given period, less any churn in that period.
Net New MRR = New MRR - Net churnMRR growth rate
MRR growth rate is the percentage of MRR growth in a given period, less any churn in that period.
MRR growth rate = (Net new MRR / MRR at the beginning of the period) x 100