GRR (Gross Revenue Retention)

The percentage of revenue retained from existing customers, excluding expansion.

Customer Success

Definition

Gross Revenue Retention is NRR without the expansion credit. It measures pure retention — revenue kept from the starting cohort after accounting for churn and contraction only. GRR can never exceed 100%; it measures the floor.

Key points

  • Formula: (Starting ARR − Contraction − Churn) / Starting ARR × 100
  • GRR ≤ 100% always (expansion excluded)
  • Best-in-class: 90%+ GRR
  • GRR shows pure retention health; NRR shows growth from existing base
Example

Same cohort as NRR example: start $1M, contraction $50k, churn $50k (expansion ignored). GRR = ($1M − $50k − $50k) / $1M = 90%.

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