Customers

The Customers chart tracks the number of active, paying customers a company has over time. Similar to MRR growth accounting, customers are broken into categories for a given month x:

Total Customers = Retained Customers + New Customers + Resurrected Customers, where:

Retained Customers = Count of customers with revenue in month x and month x-1

New Customers = Count of customers with revenue in month but not in month x-1

Resurrected Customers = Count of customers who are not new and who had no revenue in month x-1

To quantify lost customers:

Churned Customers = Count of customers with revenue in month x-1 but no revenue in month x

For quarterly and annual aggregations, these formulas are run considering the last month of the period. For example:

• A customer has revenue for January through May and no revenue beginning in June, Quarterly Calendar Year aggregation: New customer in Q1, Churned customer in Q2
• A customer has revenue in January and February and no revenue beginning in March,  Quarterly Calendar Year aggregation: Customer is never counted