Subscription Revenue Calculator

Subscription revenue projection is the process of forecasting future recurring revenue from a subscription-based business model. It uses current metrics - subscriber counts, pricing tiers, churn rate, and growth rate - to estimate Monthly Recurring Revenue (MRR), Annual Recurring Revenue (ARR), and multi-year revenue trajectories. Our subscription revenue calculator automates this process, giving you instant projections based on your specific business parameters. Accurate subscription revenue projection is essential for budgeting, hiring, fundraising, and strategic planning in any recurring revenue business.

1. 1. Enter Your Pricing Tiers: Add your subscription plans (e.g., Basic, Pro, Enterprise) with the monthly/quarterly/annual price and current subscriber count for each tier. Our subscription revenue calculator supports unlimited tiers so you can model any pricing structure.
2. 2. Set Churn and Growth Parameters: Enter your monthly churn rate (the % of subscribers who cancel each month) and your monthly new subscriber acquisition rate. These two parameters determine whether your subscriber base grows or shrinks over time.
3. 3. Review Projections and Insights: The calculator instantly computes MRR, ARR, ARPU, and customer LTV. View the year-by-year revenue projection table, interactive chart showing revenue and subscriber growth over time, revenue mix by tier, and a detailed churn impact analysis.

• MRR (Monthly Recurring Revenue): The total predictable monthly revenue from all active subscribers. MRR is calculated by multiplying each tier's subscriber count by its monthly-equivalent price and summing across all tiers.
• ARR (Annual Recurring Revenue): MRR multiplied by 12. ARR is the standard annual revenue metric used by subscription businesses for valuation and annual planning.
• Customer Lifetime Value (LTV): The total revenue a business can expect from a single customer account. LTV is calculated as ARPU divided by monthly churn rate - a critical unit economics metric.
• ARPU (Average Revenue Per User): Total MRR divided by total active subscribers. ARPU helps you understand your revenue efficiency per customer and is essential for LTV calculations.

Churn rate is the percentage of subscribers who cancel their subscription each month. It is the single most important metric affecting subscription revenue growth. Even with strong new subscriber acquisition, a high churn rate can keep your business from growing. Our subscription revenue calculator visualizes churn impact by showing the net subscriber growth (new subscribers minus churned subscribers) and flags when churn exceeds growth. Reducing churn by even 1% can significantly increase customer LTV and long-term revenue - making churn analysis a key use case for this calculator.