Why are my metrics in ProfitWell different than Chargify?

ProfitWell has partnered with Chargify to provide its users with deep insights into their financial metrics. That said - there are few differences in the methodologies around calculating these metrics.

Cancellations and Churn:

  • ProfitWell: When a customer cancels their subscription, we recognize the MRR of a customer until the end of their billing cycle. More on that here.
  • Chargify: The MRR of a subscription is removed at the time of cancellation.

New business and Churn in the same month:

  • ProfitWell: When a customer signs up and churns in the same calendar month, we ignore them from your metrics entirely —to not inflate new + churn.
  • Chargify: This revenue is factored into both new MRR and Churn.

Subscriptions on hold:

  • ProfitWell: When a customer has a subscription that is on hold, we downgrade them to $0 in MRR.
  • Chargify: The subscription continues to impact MRR as is.

Reactivations:

  • ProfitWell: If a customer churns and comes back within any period in time, they will be marked as a reactivation.
  • Chargify: If a customer churns and comes back within 90 days, it will count as a reactivation. After that, it's new.

Metered Billing:

  • ProfitWell: We roll all recurring metered billing into MRR.
  • Chargify: It's a separate category of revenue.


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