ARPU calculator
Average revenue per user (ARPU) is the revenue of a period divided by the average number of users in it. For apps, games, telecoms and subscriptions it is the base of lifetime value and of most unit economics. Enter revenue, users at the start and end of the period and, optionally, paying users. You get ARPU, ARPPU, the share of users who pay and ARPU scaled to a month and a year.
Runs in your browser: nothing you enter is sent anywhere.
How to use it
- Choose the period your revenue covers.
- Enter the revenue for that period.
- Enter users at the start and at the end.
- Optionally add the number of paying users.
- Average users = (start + end) ÷ 2
- ARPU = revenue ÷ average users
- ARPPU = revenue ÷ paying users
- Paying share = paying users ÷ average users
- ARPU per month = ARPU ÷ months in the period; per year = monthly ARPU × 12
Worked example
A month with 50,000 of revenue, 9,000 users at the start, 11,000 at the end and 1,000 paying users:
- Average users = 10,000.
- ARPU = 50,000 ÷ 10,000 = 5.00; per year 60.00.
- ARPPU = 50,000 ÷ 1,000 = 50.00; paying share 10 %.
Tips
- Decide what counts as a user (registered, active) and stick to it; ARPU on active users is higher.
- Use net revenue after refunds and platform fees if you plan to compare ARPU with acquisition cost.
- Watch ARPU and paying share together: a price rise can lift ARPPU but lower the paying share.
Frequently asked questions
How do you calculate ARPU?
ARPU = revenue for the period ÷ average users in the period. With 50,000 of monthly revenue and 9,000 users at the start and 11,000 at the end, the average is 10,000 and ARPU is 5.
What is the difference between ARPU and ARPPU?
ARPU divides revenue by all users, free ones included. ARPPU divides it only by paying users. With 1,000 payers out of 10,000, ARPPU is 50 while ARPU is 5; the ratio between them is the paying share.
Why use the average number of users?
Revenue comes in through the whole period while the user base changes. The average of the start and end is a simple way to match them; with strong growth, an average of daily or monthly counts is more precise.
How do I compare a quarterly ARPU with a monthly one?
Divide the quarterly ARPU by 3. The calculator does this for you: a quarter with 90,000 of revenue and 12,000 users gives 7.50 per quarter, 2.50 per month and 30 per year.