Average Revenue per User (ARPU) Calculator
ARPU divides revenue attributed to a period or cohort by its average active-user or account count. State the time window clearly when publishing or comparing it.
How to use this calculator
- Enter revenue and the average count for the same period.
- Check that all inputs use the same units, period and population scope.
- Change one assumption at a time when comparing scenarios.
Formula used by average revenue per user calculator
ARPU = cohort revenue ÷ average active users or accounts.
- ARPU = cohort revenue ÷ average active users or accounts.
- Use the same period and currency and define whether the denominator is users, paying users or accounts.
- The tool validates inputs and rounds displayed figures for readability; it does not validate assumptions against external records.
Worked examples
Worked example
Revenue of 48,000 is attributed to an average of 1,200 accounts.
48,000 ÷ 1,200 = 40 per account for the selected period.
Average revenue is 40 per active account.
Understanding the result
ARPU divides revenue attributed to a period or cohort by its average active-user or account count. State the time window clearly when publishing or comparing it.
Use the same period and currency and define whether the denominator is users, paying users or accounts.
Important notes
Use the same period and currency and define whether the denominator is users, paying users or accounts.
Treat the result as an estimate from the entered assumptions. For commercial, statistical, engineering or health-related decisions, verify relevant specifications and professional guidance.
Frequently asked questions
Should inactive users count?
Use the denominator that matches your published metric definition.
Is ARPU profit?
No. It is revenue per unit, not profit after costs.
How should I interpret this result?
Use the same period and currency and define whether the denominator is users, paying users or accounts.
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Related explanations
Learn the method behind the number or compare the terminology before using the calculator.
- How to Calculate Break-Even Point — Learn the break-even formula for units and revenue and understand fixed costs, price, and variable costs.
This page provides a calculation tool plus explanatory information so you can understand what the result means and when the underlying method may not fit your situation.