SaaS Marketing Glossary
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ARPU (Average Revenue Per User)

ARPU (Average Revenue Per User)

ARPU, Average Revenue Per User

How much money you make, on average, from each user within a certain period.

Why it matters

ARPU tells you if you are underpricing your product. If your ARPU is too low, you need massive volume to survive—which is exhausting. By tracking ARPU, you can see if your efforts to sell "upgrades" or "add-ons" are actually working, or if you're stuck in a cycle of selling low-value plans.

Founder perspective
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