Abandoned Checkouts is an e-commerce metric that measures the value of all the abandoned orders (i.e., sum of the prices of all the items in those orders) before shipping and taxes. Abandoned Checkouts is an important metric for online businesses as it shows the value of customer orders that were not completed due to a variety of reasons. It helps reveal any potential issues in your checkout process, such as customer difficulty in filling out forms or selecting payment options, that are preventing customers from actually completing their purchases.

Account Balance represents the difference between debits and credits in an account on a company’s general ledger. If debits are larger than credits, the account has a net debit Account Balance. If Credits are larger than debits, the account has a net credit Account Balance.

Activation Rate helps companies determine how quickly and effectively their new users are achieving perceived value. It measures the number of new users that have performed a predetermined “key action” within a set period of time, where the key action is assumed or known to deliver initial customer value.

Ad Cost per Goal Conversion is the amount of money spent on an ad that leads to a goal conversion. It is used to measure the investment in a single advertisement required to achieve a set goal.

Annual Contract Value (ACV) represents the normalised dollar amount an average customer contract is worth to your company over one year. Unlike other SaaS metrics such as Annual Recurring Revenue (ARR), there's less universal consensus on ACV's precise definition across the industry. Some companies include one-time charges like setup fees, implementation costs, or training in their ACV calculations, while others exclude these non-recurring elements to focus purely on the ongoing contractual commitment. This variability makes it essential for sales and finance teams to establish clear internal definitions and remain consistent in their calculations to ensure meaningful trend analysis and benchmarking. The metric serves as a crucial indicator of your company's market positioning, customer segmentation strategy, and overall business model effectiveness. ACV directly influences your go-to-market approach, sales team structure, customer success investments, and pricing strategy. Companies with higher ACVs typically employ different sales methodologies, longer sales cycles, and more comprehensive customer onboarding processes compared to those targeting lower ACV segments.

Annual Recurring Revenue (ARR) is the sum of all subscription revenue expressed as an annual value. For most companies, ARR is the sum of all new business subscriptions and upgrades (sometimes called expansion), minus downgrades (or contractions) and cancelled subscriptions. Though not a Generally Accepted Accounting Principle (GAAP) value, it's the Revenue equivalent used by every SaaS company. ARR is used interchangeably with Monthly Recurring Revenue (MRR).

Average Order Value (AOV) indicates the average amount of money spent on an order, either over a set period or over the lifetime of an e-commerce store. This is calculated by taking the total revenue and dividing it by the number of orders placed within the determined period.

Average Purchase Frequency counts the average number of transactions per customer per period. This metric is used to better understand customer behavior and purchase patterns.

Average purchase revenue is a key business metric that quantifies the average value of each sales transaction over a specific period. It is a fundamental indicator of how much customers are spending per order. This metric is calculated by dividing the total revenue from all purchases by the total number of transactions. It offers valuable insights for business leaders, helping them assess customer spending behaviour, evaluate pricing and promotional strategies, and understand the overall financial health of their e-commerce operations. By tracking this metric, businesses can make data-driven decisions to optimize their revenue per customer.

Average Revenue Per Account (ARPA) represents the mean revenue generated from each customer account over a specific period, typically calculated monthly or annually. Beyond serving as a simple revenue indicator, ARPA functions as a critical strategic metric that reflects your product's value proposition, market positioning, pricing effectiveness, and customer segmentation strategy. It directly influences unit economics, growth sustainability, and competitive positioning while providing actionable insights into customer behaviour, expansion opportunities, and market penetration across different segments and growth stages.

Average Revenue Per Paying User (ARPPU) is a key performance indicator (KPI) that measures the average revenue generated from each user who has made at least one purchase within a specific time period. Unlike Average Revenue Per User (ARPU), which includes all users (both paying and non-paying), ARPPU focuses specifically on the paying customer base. This metric provides a crucial insight into the value of a business's paying customers and their spending behaviour. It is especially useful for subscription-based models, e-commerce, mobile apps, and other businesses where a distinction exists between free users and those who generate revenue. By tracking ARPPU, a company can better understand its monetization efficiency and the effectiveness of its pricing strategies.

Average Revenue Per User (ARPU) is a company's generated revenue that is averaged across all users and reported as a monthly or yearly value. ARPU is a top-level metric, that can easily be normalized and is often cited as a comparative measure between similar companies.