AI FoundersApplications for AI Launchpad close soon - April 14th   Apply now
Retain Metrics

We've designed the Retain metrics dashboard to be radically transparent in showing you Retain's performance. To understand Retain's effectiveness in recovering past due users,  we will first establish a baseline, track its performance daily, and compare month over month. 

Baseline Performance:

We will take a 3 month average before Retain was activated to set a baseline recovery rate.  This will serve as our benchmark when gauging Retain's performance.

Retain's Recovery Rate: 

Your recovery rate is based on the average of all months after you activated Retain. Retain will take credit for all users that see an in-app notification or recovery email. 

Retain’s Monthly Performance:

The second chart on your Retain Metrics Dashboard tracks Retain's performance daily over the course of a month. This is your recovery rate in the last past 30 days with Retain visualized as a ratio compared to your baseline performance before Retain. The delta above the baseline represents an improvement in your recovery rate. It’s important to note that although this can dip below the baseline on any given day(s), it’s more important that the overall trend is above the line and indicates Retain is improving your take back rate of past due payments.

Retain’s Performance in Past Months

The third chart in your Retain Metrics dashboard illustrates Retain's effectiveness at recovering MRR. 

  1. Recovered MRR
    The amount of total past due MRR that has been recovered in a given month. The amount of recovered payments will continue to grow throughout the month as Retain recovers more past due payments.
  2. At risk MRR
    The amount of past due MRR that Retain is still attempting to recover. The current month and the previous month are the only months with “at risk MRR”. In the case of the previous month, Retain can still be attempting to collect at risk MRR because these payments likely failed towards the end of the month and Retain is still attempting to recover them although the current month has already started. Because the “at risk MRR” is still in the Retain cycle the previous month’s “recovered MRR” and “recovery rate” can be impacted retroactively.
  3. Total Past Due MRR
    The total amount of payments that are past due in a given month. The amount of total past due MRR will continue to grow throughout the current month as more of your customers’ payments become delinquent.

Recovery Rate vs. Delinquent Churn: 

An increase in Recovery rate may not always lead to a decrease in Delinquent Churn. The reason for this is that that Delinquent Churn is an imperfect proxy for Recovery Rate which is the metric Retain is designed to improve. This is especially true for a growing company, as the following example illustrates:

  • your MRR is $1000 and 10 users worth $10 each go past due. 8 come back and 2 churn. Your Recovery Rate is 80% and your delinquent churn is 2%.
  • a few months later your MRR is $1500 and now 20 users worth $10 each go past due. Retain gets back 16 of them and 4 churn. Your Recovery rate is still 80%, but your delinquent churn is 2.67%, or 33% higher (we see this asymmetric growth pattern all the time)



Need more help?

Login to your Paddle account to chat directly with our Seller Support Team or…