ARPU stands for average revenue per unit, the unit part of the acronym can also stand for user, account or any other paying customer. This sales KPI indicates the average customer’s revenue from all your sales. It’s a simple calculation, you take your total monthly (recurring) revenue and divide it by the total amount of customers you have in your roster. This might seem obvious to some and it’s worth pointing out that if your ARPU is higher in comparison to your acquisition costs, you might run into trouble. Your customer acquisition costs should always be lower, otherwise, you’re not making any profits from your revenues.
Performance Indicators
If your ARPU is rising you should be on track. This usually means that you are signing bigger customers, or signing customers with bigger plans.
Anthony (Tony) Crilly is a seasoned B2B sales and marketing professional with 20+ years of experience helping top technology companies grow. He has led sales development for leaders like Oracle, IBM, NetApp, and Roadmunk, specializing in outbound strategy, account management, and go-to-market execution. His work spans cloud, cybersecurity, SaaS, and digital transformation, with a track record of building pipelines, generating qualified leads, and driving customer success.
Beyond his career, Tony is passionate about health, fitness, and nutrition, drawing on decades of endurance training as a runner cyclist, and swimmer. He also writes on topics that connect business, personal growth, and everyday life, sharing lessons from both success and challenge. A dedicated family man and faith-driven, Tony brings the same intensity and commitment to personal goals as he does to professional ones — whether it’s overcoming obstacles, supporting others, or leading by example.
