SaaS Glossary Core metrics for operators and investors
Every entry pairs a plain-English definition with the exact formula, 2026 industry benchmarks, and links to related metrics — written and maintained by the SaaS Metrics Box editorial team.
Revenue Metrics
ARR
Annual Recurring RevenueThe annualized value of your recurring base — the headline number investors price. Formula, net new ARR, and 2026 growth benchmarks by stage.
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MRR
Monthly Recurring RevenueThe monthly operating heartbeat. The MRR formula, net new MRR, the four components, and growth benchmarks by scale.
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Unit Economics
LTV
Customer Lifetime ValueWhat a customer is worth, with the gross-margin formula, churn as the dominant lever, and LTV:CAC benchmarks for 2026.
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CAC
Customer Acquisition CostWhat a customer costs — fully-loaded vs. blended vs. paid CAC, the formula, and 2026 payback efficiency benchmarks.
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Payback Period
CAC RecoveryHow many months of gross profit repay CAC — the cash-flow metric boards trust, with 2026 segment benchmarks.
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Retention Metrics
Churn Rate
Logo vs. Revenue ChurnThe definitive entry: logo churn vs. revenue churn, net negative churn, the four formulas, and the 2026 benchmark table by segment.
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Free Churn Analyzer
Compute logo churn, gross & net revenue churn, and NRR against 2026 benchmarks — no signup required.
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